This Insider Has Just Sold Shares In Pathfinder Bancorp

Anyone interested in Pathfinder Bancorp, Inc. (NASDAQ:PBHC) should probably be aware that the Independent Director, Eric Allyn, recently divested US$137k worth of shares in the company, at an average price of US$16.80 each. That sale was 17% of their holding, so it does make us raise an eyebrow.

Check out our latest analysis for Pathfinder Bancorp

Pathfinder Bancorp Insider Transactions Over The Last Year

Notably, that recent sale by Eric Allyn is the biggest insider sale of Pathfinder Bancorp shares that we've seen in the last year. So it's clear an insider wanted to take some cash off the table, even below the current price of US$17.77. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 17% of Eric Allyn's holding.

Over the last year, we can see that insiders have bought 9.39k shares worth US$113k. But insiders sold 15.24k shares worth US$249k. In total, Pathfinder Bancorp insiders sold more than they bought over the last year. 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!

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Does Pathfinder Bancorp Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Pathfinder Bancorp insiders own 20% of the company, worth about US$21m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Pathfinder Bancorp Tell Us?

Insiders sold stock recently, but they haven't been buying. Zooming out, the longer term picture doesn't give us much comfort. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Pathfinder Bancorp. Every company has risks, and we've spotted 3 warning signs for Pathfinder Bancorp you should know about.

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.