The insider selling at a slight discount implies a fair valuation at this lower price point. However, its impact was minor due to the small portion sold. Although high insider ownership usually favors all shareholders, ServisFirst Bancshares shows 3 red flags to consider before investing.

Insider activities reflect great confidence in the company and its stock over last year. Also, significant insider ownership indicates potential good governance. Still, potential investors should also weigh risks and warnings associated with the stock.