Banc of California , Inc. (NYSE:BANC) has reported a series of stock sales by director Richard J. Lashley, totaling over $2.8 million. The transactions, which took place on September 4th and 5th, were disclosed in a recent filing with the Securities and Exchange Commission.
Lashley, who serves on the bank's board of directors, sold a total of 187,500 shares at an average price range between $14.004 and $14.197. The sales were executed in multiple transactions to satisfy limited partner fund withdrawals, with prices ranging from $14.00 to $14.015 on September 4th and from $14.10 to $14.305 on September 5th.
Following these transactions, the director still holds a significant number of shares in the company. The sales were made indirectly through Goodbody/PL Capital, LLC and PL Capital, LLC, entities in which Lashley holds a 50% equity interest and serves as a managing member. These entities act as the general partners of various limited partnerships, and Lashley has reported all shares held by these partnerships. However, he disclaims beneficial ownership of the reported securities except to the extent of his pecuniary interest therein.
Investors often monitor insider transactions such as these for insights into executives' perspectives on their company's stock. The Banc of California has not provided any comments on these recent sales.
In other recent news, Banc of California has reported significant changes in its executive team, with Monica Sparks, the Executive Vice President and Chief Accounting Officer, stepping down. Jeffrey Krumpoch, a seasoned executive from PacWest Bancorp, has been appointed as the Interim Chief Accounting Officer. The bank also revealed dividends for its common and preferred stock, with common stockholders set to receive a $0.10 per share dividend.
In the face of a tightened financial environment, Banc of California has reported an increase in its provisions for potential loan defaults. Despite these concerns, the bank recorded a profit available to common shareholders of $20.4 million, or 12 cents per share, during the second quarter. Truist Securities has revised the bank's core earnings per share estimates for 2024 and 2025, leading to an increase in the stock price target for Banc of California to $15.00.
The bank also announced the successful completion of a core system conversion and the sale of its CIVIC loan portfolio, freeing up $100 million in Tier 1 capital. This comes as part of Banc of California's strategic repositioning initiatives aimed at driving growth and improving profitability. These are some of the recent developments that continue to shape the bank's trajectory.
InvestingPro Insights
The recent insider transactions at Banc of California, Inc. (NYSE:BANC) may draw the attention of investors looking for signals on the bank's financial health and future prospects. According to InvestingPro, the company is poised for a turnaround with analysts expecting net income growth this year. This anticipated improvement aligns with the InvestingPro Tip that analysts predict the company will become profitable within the year, a significant shift from its lack of profitability over the last twelve months.
On the financial metrics front, Banc of California's market capitalization stands at approximately $2.34 billion. Despite a challenging period reflected in a negative P/E ratio of -3.7, the bank's revenue growth shows a quarterly surge of 343.4%, indicating a possible recovery or beneficial transactions in the recent quarter. Additionally, the InvestingPro Fair Value estimate for BANC is currently at $11.93, which is below the previous closing price of $14.13, suggesting that the stock might be overvalued at its recent trading levels.
For investors considering the bank's stock, it's worth noting that nine analysts have revised their earnings estimates downwards for the upcoming period, which could be a point of concern. However, with 5 additional InvestingPro Tips available, investors can access a more comprehensive analysis to help inform their decisions. These insights, along with real-time metrics and expert forecasts, are accessible through the InvestingPro platform.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.