Even if it’s not a huge purchase, we think it was good to see that Kevin Bannon, the Independent Director of Urstadt Biddle Properties Inc. (NYSE:UBA) recently shelled out US$56k to buy stock, at US$11.11 per share. While we’re hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 14%.
The Last 12 Months Of Insider Transactions At Urstadt Biddle Properties
The Senior VP, John Hayes, made the biggest insider sale in the last 12 months. That single transaction was for US$123k worth of shares at a price of US$23.49 each. While we don’t usually like to see insider selling, it’s more concerning if the sales take place at a lower price. The silver lining is that this sell-down took place above the latest price (US$12.78). So it may not tell us anything about how insiders feel about the current share price.
Over the last year we saw more insider selling of Urstadt Biddle Properties shares, than buying. You can see the insider transactions (by individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
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 of Urstadt Biddle Properties
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 Urstadt Biddle Properties insiders own 18% of the company, worth about US$86m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Urstadt Biddle Properties Insiders?
It is good to see the recent insider purchase. But we can’t say the same for the transactions over the last 12 months. The more recent transactions are a positive, but Urstadt Biddle Properties insiders haven’t shown the sustained enthusiasm that we look for, although they do own a decent number of shares, overall. In short they are likely aligned with shareholders. While we like knowing what’s going on with the insider’s ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Every company has risks, and we’ve spotted 3 warning signs for Urstadt Biddle Properties 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, but not derivative transactions.
If you spot an error that warrants correction, please contact the editor at firstname.lastname@example.org. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.
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