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Don't Ignore The Insider Selling In Bank of Hawaii
Bank of Hawaii Corp BOH | 80.07 | +1.35% |
Anyone interested in Bank of Hawaii Corporation (NYSE:BOH) should probably be aware that the Independent Director, Robert Wo, recently divested US$393k worth of shares in the company, at an average price of US$78.57 each. However, the silver lining is that the sale only reduced their total holding by 8.2%, so we're hesitant to read anything much into it, on its own.
The Last 12 Months Of Insider Transactions At Bank of Hawaii
In fact, the recent sale by Robert Wo was the biggest sale of Bank of Hawaii shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at around the current price of US$76.64. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).
Insiders in Bank of Hawaii didn't buy any shares in the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
If you are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.
Does Bank of Hawaii Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Insiders own 1.5% of Bank of Hawaii shares, worth about US$45m. 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 Does This Data Suggest About Bank of Hawaii Insiders?
Insiders sold stock recently, but they haven't been buying. And there weren't any purchases to give us comfort, over the last year. But it is good to see that Bank of Hawaii is growing earnings. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. So we'd only buy after careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Bank of Hawaii. In terms of investment risks, we've identified 1 warning sign with Bank of Hawaii and understanding it should be part of your investment process.
But note: Bank of Hawaii 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 of direct interests only, but not derivative transactions or indirect interests.
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.


