On May 25, 2023, G Beale, CEO of a Bank Subsidiary, purchased 3,000 shares of Blue Ridge Bankshares Inc (BRBS, Financial), a regional bank holding company. This recent insider buying activity could be a sign of confidence in the company's future prospects and may warrant further investigation by investors.
Who is G Beale?
G Beale is the CEO of a Bank Subsidiary of Blue Ridge Bankshares Inc. Over the past year, G Beale has purchased a total of 10,000 shares and has not sold any shares. This demonstrates a strong commitment to the company and a belief in its potential for growth.
About Blue Ridge Bankshares Inc
Blue Ridge Bankshares Inc is a regional bank holding company that operates through its subsidiary, Blue Ridge Bank. The company provides a wide range of banking services, including personal and business banking, mortgage lending, and wealth management services. With a focus on customer service and community involvement, Blue Ridge Bankshares Inc aims to create value for its shareholders by fostering long-term relationships with its clients and supporting local economic development.
Insider Buying Analysis
The insider transaction history for Blue Ridge Bankshares Inc reveals a positive trend, with 30 insider buys in total over the past year and no insider sells. This pattern of insider buying activity could indicate that the company's management and insiders believe in the stock's potential for growth and are willing to invest their own money in the company.
It is worth noting that insider buying can be a strong indicator of a company's future performance, as insiders typically have a deep understanding of the company's operations and prospects. However, investors should also consider other factors, such as the company's financial health and market conditions, before making any investment decisions.
Stock Price and Valuation
On the day of G Beale's recent purchase, shares of Blue Ridge Bankshares Inc were trading at $9 apiece, giving the stock a market capitalization of $167.452 million. The price-earnings ratio is 14.03, which is higher than the industry median of 7.9 and higher than the company's historical median price-earnings ratio. This suggests that the stock may be overvalued compared to its peers and its own historical valuation.
However, with a price of $9 and a GuruFocus Value of $11.26, Blue Ridge Bankshares Inc has a price-to-GF-Value ratio of 0.8. This indicates that the stock is modestly undervalued based on its GF Value. The GF Value is an intrinsic value estimate developed by GuruFocus that takes into account historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow), a GuruFocus adjustment factor based on the company's past returns and growth, and future estimates of business performance from Morningstar analysts.
Conclusion
The recent insider buying activity by G Beale, CEO of a Bank Subsidiary, in Blue Ridge Bankshares Inc (BRBS, Financial) could be a positive signal for investors. With a total of 10,000 shares purchased over the past year and no shares sold, G Beale's commitment to the company is evident. Additionally, the overall insider buying trend for the company is positive, with 30 insider buys and no sells in the past year.
While the stock's price-earnings ratio is higher than the industry median and its historical median, the price-to-GF-Value ratio suggests that the stock is modestly undervalued. Investors should consider these factors, along with the company's financial health and market conditions, before making any investment decisions.
