Independent Lead Director James Filler Just Bought A Handful Of Shares In ServisFirst Bancshares, Inc. (NYSE:SFBS)
Potential ServisFirst Bancshares, Inc. (NYSE:SFBS) shareholders may wish to note that the Independent Lead Director, James Filler, recently bought US$281k worth of stock, paying US$56.14 for each share. However, it only increased shareholding by a small percentage, and it wasn't a huge purchase by absolute value, either.
See our latest analysis for ServisFirst Bancshares
The Last 12 Months Of Insider Transactions At ServisFirst Bancshares
Notably, that recent purchase by James Filler is the biggest insider purchase of ServisFirst Bancshares shares that we've seen in the last year. That implies that an insider found the current price of US$59.85 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the ServisFirst Bancshares insiders decided to buy shares at close to current prices.
In the last twelve months insiders purchased 8.20k shares for US$524k. But insiders sold 4.45k shares worth US$398k. Overall, ServisFirst Bancshares insiders were net buyers during the last year. The average buy price was around US$63.91. These transactions suggest that insiders have considered the current price attractive. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
ServisFirst Bancshares is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership Of ServisFirst Bancshares
For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. ServisFirst Bancshares insiders own 9.2% of the company, currently worth about US$298m based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Do The ServisFirst Bancshares Insider Transactions Indicate?
It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. Once you factor in the high insider ownership, it certainly seems like insiders are positive about ServisFirst Bancshares. One for the watchlist, at least! So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Be aware that ServisFirst Bancshares is showing 2 warning signs in our investment analysis, and 1 of those is potentially serious...
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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