We'd be surprised if Bank OZK (NASDAQ:OZK) shareholders haven't noticed that the President, Paschall Hamblen, recently sold US$410k worth of stock at US$41.00 per share. However, the silver lining is that the sale only reduced their total holding by 9.4%, so we're hesitant to read anything much into it, on its own.
Check out our latest analysis for Bank OZK
Bank OZK Insider Transactions Over The Last Year
In fact, the recent sale by Paschall Hamblen was the biggest sale of Bank OZK shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at below the current price (US$41.40). When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. 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. It is worth noting that this sale was only 9.4% of Paschall Hamblen's holding.
Over the last year, we can see that insiders have bought 8.40k shares worth US$330k. But they sold 41.71k shares for US$1.8m. Over the last year we saw more insider selling of Bank OZK shares, than buying. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
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. Bank OZK insiders own about US$308m worth of shares (which is 6.7% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
What Might The Insider Transactions At Bank OZK Tell Us?
The stark truth for Bank OZK is that there has been more insider selling than insider buying in the last three months. Zooming out, the longer term picture doesn't give us much comfort. But it is good to see that Bank OZK is growing earnings. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Bank OZK.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.
