Seacoast Banking Corporation of Florida (NASDAQ:SBCF) shareholders may have reason to be concerned, as several insiders sold their shares over the past year. Knowing whether insiders are buying is usually more helpful when evaluating insider transactions, as insider selling can have various explanations. However, if numerous insiders are selling, shareholders should investigate more.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
Check out our latest analysis for Seacoast Banking Corporation of Florida
Seacoast Banking Corporation of Florida Insider Transactions Over The Last Year
In the last twelve months, the biggest single sale by an insider was when the Director, Dennis Hudson, sold US$267k worth of shares at a price of US$33.01 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The good news is that this large sale was at well above current price of US$26.53. So it is hard to draw any strong conclusion from it.
Over the last year, we can see that insiders have bought 8.80k shares worth US$174k. But they sold 13.37k shares for US$408k. In total, Seacoast Banking Corporation of Florida insiders sold more than they bought over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
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Seacoast Banking Corporation of Florida Insiders Bought Stock Recently
There was some insider buying at Seacoast Banking Corporation of Florida over the last quarter. Independent Director Robert Lipstein purchased US$25k worth of shares in that period. We like it when there are only buyers, and no sellers. However, in this case the amount invested recently is quite small.
Insider Ownership
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 1.5% of Seacoast Banking Corporation of Florida shares, worth about US$33m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
What Might The Insider Transactions At Seacoast Banking Corporation of Florida Tell Us?
Insider purchases may have been minimal, in the last three months, but there was no selling at all. The net investment is not enough to encourage us much. Still, the insider transactions at Seacoast Banking Corporation of Florida in the last 12 months are not very heartening. The modest level of insider ownership is, at least, some comfort. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example - Seacoast Banking Corporation of Florida has 4 warning signs we think you should be aware of.
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 of direct interests only, but not derivative transactions or indirect interests.
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