Insiders who bought Third Coast Bancshares, Inc. (NASDAQ:TCBX) stock in the last 12 months were richly rewarded last week. The company's market value increased by US$51m as a result of the stock's 14% gain over the same period. As a result, the stock they originally bought for US$267.5k is now worth US$419.2k.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

The Last 12 Months Of Insider Transactions At Third Coast Bancshares

In the last twelve months, the biggest single purchase by an insider was when Executive VP & Chief Banking Officer William Bobbora bought US$95k worth of shares at a price of US$21.44 per share. Even though the purchase was made at a significantly lower price than the recent price (US$31.09), we still think insider buying is a positive. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

In the last twelve months Third Coast Bancshares insiders were buying shares, but not selling. 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!

Third Coast Bancshares is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Third Coast Bancshares Insiders Bought Stock Recently

It's good to see that Third Coast Bancshares insiders have made notable investments in the company's shares. We can see that Executive VP & Chief Banking Officer William Bobbora paid US$53k for shares in the company. No-one sold. This could be interpreted as suggesting a positive outlook.

Insider Ownership Of Third Coast Bancshares

Many investors like to check how much of a company is owned by 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. Insiders own 7.2% of Third Coast Bancshares shares, worth about US$30m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Third Coast Bancshares Insiders?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest Third Coast Bancshares insiders are well aligned, and that they may think the share price is too low. Of course, the future is what matters most. So if you are interested in Third Coast Bancshares, you should check out this free report on analyst forecasts for the company.

But note: Third Coast Bancshares may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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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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.