Matthew G. De Soto, a director at Mid Penn Bancorp Inc (NASDAQ:MPB), has recently increased his stake in the company through a stock purchase valued at $7,989. On June 28, De Soto acquired 364 shares of Mid Penn Bancorp's common stock at a price of $21.95 per share.
This transaction comes as part of the company's Director Stock Purchase Plan, which allows board members to invest directly in the company's future. It's also worth noting that De Soto's total holdings now include shares acquired through the Dividend Reinvestment Plan, as indicated in the SEC filing footnotes.
Mid Penn Bancorp, headquartered in Harrisburg, Pennsylvania, operates as a state commercial bank and has been a part of the financial landscape since its incorporation in PA. With a strong local presence, the bank focuses on providing a range of financial services to its community.
Investors often keep a close eye on insider transactions like these, as they can provide insights into the confidence that company executives and directors have in the business's prospects. De Soto's recent purchase reflects a direct investment in the company's stock and may be interpreted as a positive sign by market watchers.
The SEC filing also mentioned that De Soto holds additional shares in the form of restricted stock, which are set to vest on the first anniversary of the grant date. These shares are part of the long-term incentive plans that companies often use to align the interests of their directors and executives with those of shareholders.
Mid Penn Bancorp's stock performance and insider transactions such as De Soto's purchase can be followed by investors looking to gauge the company's financial health and leadership confidence. As always, it is recommended that investors consider a wide range of factors when making investment decisions.
In other recent news, Mid Penn Bancorp has been the subject of noteworthy developments. The company reported a rise in earnings for the first quarter of 2024, with a net income available to common shareholders of $12.1 million, exceeding analyst consensus estimates. This increase was accompanied by a significant loan growth of $64.7 million for the quarter, and a deposit growth of $32.9 million.
Piper Sandler, a financial firm, maintained an Overweight rating and a $25.00 price target on Mid Penn Bancorp's stock, even as the bank's performance lagged behind its peers. The firm's confidence in the bank is based on its solid credit profile and commitment to controlling expenses. These are all recent developments that keep Mid Penn Bancorp in the spotlight.
While the bank's shares are currently trading at 87% of its tangible book value per share, Piper Sandler suggests this offers an attractive entry point for investors. The firm's analysis indicates potential value in Mid Penn Bancorp's future performance, despite its recent underperformance in the stock market.
InvestingPro Insights
Mid Penn Bancorp Inc (NASDAQ:MPB) has recently seen notable insider activity, as director Matthew G. De Soto increased his stake in the company. This move aligns with the positive sentiment reflected in the company's recent performance metrics. According to InvestingPro data, Mid Penn Bancorp has a market capitalization of $366.66 million, with a P/E ratio that stands at 9.46. The company's P/E ratio adjusted for the last twelve months as of Q1 2024 is even more attractive at 8.1, indicating potential undervaluation compared to earnings.
Investors may also be encouraged by Mid Penn Bancorp's consistent dividend payments over the last 14 years, which is a testament to the company's commitment to shareholder returns. This is complemented by a robust dividend yield of 3.67%, as of the most recent data, which is competitive in the banking sector and provides a steady income stream for investors.
In terms of performance, Mid Penn Bancorp has experienced a significant return over the last week, with a 7.82% increase in total return. This may suggest a growing confidence among investors and could be a reflection of the insider buying activity. Additionally, analysts have a positive outlook on the company's profitability for the year, which, when combined with a profitable track record over the last twelve months, paints a promising financial picture for Mid Penn Bancorp.
For those interested in a deeper dive into the company's prospects, InvestingPro offers additional insights. There are currently 5 more InvestingPro Tips available, providing a more comprehensive analysis of Mid Penn Bancorp's financial health and future outlook. To access these tips and take advantage of the wealth of information on InvestingPro, use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.
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