Jared Wolff, President and CEO of
Banc of California (BANC), recently added 7,130 shares. The buy increased his position by 2%, and came to a total cost of $99,677.
The buy comes a month after a company director bought 7,500 shares, paying just over $108,500. And another company director was a buyer in February. The last insider sale occurred in late January at a slightly higher price for shares.
Overall, Banc of California insiders own 1.1% of shares.
The regional bank is up nearly 29% over the past year, slightly beating the market’s overall return. That’s in spite of some fears in the banking space following a series of high-profile bank failures last March.
Banc of California shares trade at 10 times forward earnings, and the stock trades at a nearly 20% discount to its book value.
The bank sector is still shaky, following another bank failure last Friday. However, most banks have made changes to their holdings to adjust to today’s interest rates.
Action to take: Shares are a speculative buy here. Investors may want to buy a partial position and use any big down day as an opportunity to buy in at a lower cost average.
Banc of California pays a 2.8% dividend at current prices.
For traders, the bank is gradually trending higher. The July $15 calls, last trading for about $0.65, could see mid-double-digit returns in the weeks ahead.
Disclosure: The author of this article has no position in the company mentioned here, but may trade after the next 72 hours. The author receives no compensation from any company mentioned in this article.