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Insiders Enjoy US$647k Return After Buying Metropolitan Bank Holding Stock

Simply Wall St ·  Feb 3 20:52

Insiders who bought Metropolitan Bank Holding Corp. (NYSE:MCB) stock lover the last 12 months are probably not as affected by last week's 11% loss. After taking the recent loss into consideration, the US$829.7k worth of stock they bought is now worth US$1.48m, indicating that their investment yielded a positive return.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

Metropolitan Bank Holding Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by President Mark DeFazio for US$496k worth of shares, at about US$25.15 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$44.56. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Metropolitan Bank Holding insiders may have bought shares in the last year, but they didn't sell any. 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!

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NYSE:MCB Insider Trading Volume February 3rd 2024

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Insider Ownership Of Metropolitan Bank Holding

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 5.4% of Metropolitan Bank Holding shares, worth about US$27m. 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 Do The Metropolitan Bank Holding Insider Transactions Indicate?

The fact that there have been no Metropolitan Bank Holding insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. Insiders own shares in Metropolitan Bank Holding and we see no evidence to suggest they are worried about the future. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.

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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.

Disclaimer: This content is for informational and educational purposes only and does not constitute a recommendation or endorsement of any specific investment or investment strategy. Read more
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