Mohammad Javaid Is The Independent Director of The Community Financial Corporation (NASDAQ:TCFC) And They Just Picked Up 119% More Shares

Potential The Community Financial Corporation (NASDAQ:TCFC) shareholders may wish to note that the Independent Director, Mohammad Javaid, recently bought US$150k worth of stock, paying US$30.06 for each share. We reckon that's a good sign, especially since the purchase boosted their holding by 119%.

Check out our latest analysis for Community Financial

Community Financial Insider Transactions Over The Last Year

In fact, the recent purchase by Mohammad Javaid was the biggest purchase of Community Financial shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is US$30.30. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for Community Financial share holders is that insiders were buying at near the current price.

In the last twelve months Community Financial insiders were buying shares, but not selling. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

Community Financial is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership of Community Financial

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Community Financial insiders own 11% of the company, worth about US$20m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Community Financial Insider Transactions Indicate?

It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. Given that insiders also own a fair bit of Community Financial we think they are probably pretty confident of a bright future. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Community Financial.

But note: Community Financial 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, but not derivative transactions.

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