First United Corp (NASDAQ:FUNC) Chairman, President, and CEO Carissa Lynn Rodeheaver recently acquired shares of the company's stock, as disclosed in a recent SEC filing. On November 1 and November 4, Rodeheaver purchased a total of 162 shares of common stock through a dividend reinvestment program, with prices ranging from $31.74 to $31.9851 per share. The total transaction value amounted to $5,157. Following these transactions, Rodeheaver's direct ownership stands at 43,851.8691 shares. Additionally, she holds shares indirectly through a 401(k) plan and as a custodian for her son.
In other recent news, First United Corporation declared a quarterly cash dividend of $.22 per share for its shareholders, scheduled for payment on November 1, 2024. This announcement aligns with the company's consistent practice of providing returns to its shareholders through dividends. The company also announced a new stock repurchase program, set to take effect on August 30, 2024, authorizing up to 600,000 shares of its common stock to be repurchased, accounting for about 9.3% of its issued and outstanding shares. However, there is no guarantee that any shares will be repurchased, with the actual number of shares to be bought back dependent on various factors, including market opportunities and the company's strategic plans. These recent developments highlight First United's commitment to shareholder value and its integrated approach to banking and community development. The company operates with commercial banking powers and has several subsidiaries focused on finance, real estate holding, and low-income housing development, primarily in Maryland. Updates on the repurchase program will be provided in the company's periodic filings with the Securities and Exchange Commission.
InvestingPro Insights
First United Corp's recent insider buying activity aligns with several positive indicators highlighted by InvestingPro. The company's stock has shown remarkable performance, with a 92.43% total return over the past year and a 41.5% return in the last six months. This strong momentum is reflected in an InvestingPro Tip noting that FUNC is trading near its 52-week high, currently at 99.5% of that peak.
The company's financial health appears solid, with a P/E ratio of 12.99, suggesting a reasonable valuation relative to earnings. First United Corp also boasts an attractive dividend yield of 2.78%, and an InvestingPro Tip reveals that the company has raised its dividend for 7 consecutive years, indicating a commitment to shareholder returns that aligns with CEO Rodeheaver's recent stock purchases through the dividend reinvestment program.
While the company's revenue growth has been modest, with a 7.51% increase in the most recent quarter, First United Corp maintains a strong operating income margin of 31.1%. This efficiency in operations contributes to the company's profitability, which is expected to continue according to analyst predictions highlighted in another InvestingPro Tip.
For investors seeking a deeper understanding of First United Corp's potential, InvestingPro offers 10 additional tips, providing a comprehensive view of the company's strengths and challenges in the current market environment.
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