Potential The Bancorp, Inc. (NASDAQ:TBBK) shareholders may wish to note that the Independent Director, Matthew Cohn, recently bought US$421k worth of stock, paying US$42.58 for each share. Although the purchase only increased their holding by 5.1%, it is still a solid purchase in our view.

See our latest analysis for Bancorp

The Last 12 Months Of Insider Transactions At Bancorp

Notably, that recent purchase by Independent Director Matthew Cohn was not the only time they bought Bancorp shares this year. They previously made an even bigger purchase of US$683k worth of shares at a price of US$38.32 per share. So it's clear an insider wanted to buy, at around the current price, which is US$42.45. 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. In this case we're pleased to report that the insider purchases were made at close to current prices.

Happily, we note that in the last year insiders paid US$2.1m for 55.44k shares. But they sold 53.61k shares for US$1.9m. In total, Bancorp insiders bought more than they sold over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

Bancorp 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 Bancorp

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Bancorp insiders own about US$94m worth of shares. That equates to 4.2% of the company. 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 Bancorp Insider Transactions Indicate?

It is good to see recent purchasing. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest Bancorp insiders are well aligned, and that they may think the share price is too low. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Bancorp.