Anyone interested in Colony Bankcorp, Inc. (NASDAQ:CBAN) should probably be aware that the Independent Director, Harold Wyatt, recently divested US$211k worth of shares in the company, at an average price of US$10.54 each. The eyebrow raising move amounted to a reduction of 18% in their holding.
Check out our latest analysis for Colony Bankcorp
The Last 12 Months Of Insider Transactions At Colony Bankcorp
Notably, that recent sale by Harold Wyatt is the biggest insider sale of Colony Bankcorp shares that we've seen in the last year. So it's clear an insider wanted to take some cash off the table, even below the current price of US$11.24. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. We note that the biggest single sale was only 18%of Harold Wyatt's holding.
Happily, we note that in the last year insiders paid US$276k for 25.53k shares. But they sold 31.00k shares for US$328k. Harold Wyatt divested 31.00k shares over the last 12 months at an average price of US$10.56. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
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Insider Ownership
Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Colony Bankcorp insiders own 7.3% of the company, worth about US$14m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Does This Data Suggest About Colony Bankcorp Insiders?
The stark truth for Colony Bankcorp is that there has been more insider selling than insider buying in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. But since Colony Bankcorp is profitable and growing, we're not too worried by this. While insiders do own shares, they don't own a heap, and they have been selling. We're in no rush to buy! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Colony Bankcorp. At Simply Wall St, we found 2 warning signs for Colony Bankcorp that deserve your attention before buying any shares.
Of course Colony Bankcorp may not be the best stock to buy. So you may wish to see this free collection of high quality companies.
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 of direct interests only, but not derivative transactions or indirect interests.
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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.