Yahoo Finance A number of insiders bought Northrim BanCorp, Inc. (NASDAQ:NRIM) stock last year, which is great news for shareholders
Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of Northrim BanCorp, Inc. (NASDAQ:NRIM), it sends a favourable message to the company's shareholders.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.
View our latest analysis for Northrim BanCorp
Northrim BanCorp Insider Transactions Over The Last Year
The Independent Director David Karp made the biggest insider purchase in the last 12 months. That single transaction was for US$108k worth of shares at a price of US$43.35 each. So it's clear an insider wanted to buy, at around the current price, which is US$44.04. That means they have been optimistic about the company in the past, though they may have changed their mind. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for Northrim BanCorp share holders is that insiders were buying at near the current price.
Happily, we note that in the last year insiders paid US$459k for 10.89k shares. But insiders sold 1.32k shares worth US$57k. Overall, Northrim BanCorp insiders were net buyers during the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Northrim BanCorp is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Northrim BanCorp Insiders Bought Stock Recently
It's good to see that Northrim BanCorp insiders have made notable investments in the company's shares. We can see that Independent Director Karl M. Hanneman paid US$51k for shares in the company. No-one sold. This could be interpreted as suggesting a positive outlook.
Does Northrim BanCorp Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 2.7% of Northrim BanCorp shares, worth about US$6.6m, according to our data. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!
So What Does This Data Suggest About Northrim BanCorp Insiders?
It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Northrim BanCorp insiders are expecting a bright future. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Northrim BanCorp.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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