South Plains Financial Inc (NASDAQ:SPFI), a Texas-based financial holding company that operates through its subsidiary, City Bank, providing commercial and consumer financial services to small and medium-sized businesses and individuals in the South Plains and Panhandle regions of Texas and Eastern New Mexico, has reported an insider purchase by one of its directors. According to a recent SEC Filing, Director Noe Valles bought 50,000 shares of the company on February 27, 2024.
The insider's transaction history over the past year shows a pattern of confidence in the company's prospects. Noe Valles has purchased a total of 103,000 shares and has not sold any shares in the same period.
The insider transaction history for South Plains Financial Inc indicates a positive sentiment among those with intimate knowledge of the company. There have been 6 insider buys and 4 insider sells over the past year.
On the day of the insider's recent purchase, shares of South Plains Financial Inc were trading at $25, valuing the company at a market cap of $427.034 million. The price-earnings ratio of 7.17 is below both the industry median of 9.2 and the company's historical median price-earnings ratio, suggesting a potentially undervalued stock relative to its peers and its own trading history.
However, with a current price of $25 and a GuruFocus Value of $22.62, South Plains Financial Inc has a price-to-GF-Value ratio of 1.11, indicating that the stock is considered Modestly Overvalued according to the GF Value metric. The GF Value is a proprietary intrinsic value estimate from GuruFocus, which takes into account historical trading multiples, a GuruFocus adjustment factor based on past returns and growth, and future business performance estimates from Morningstar analysts.
The insider trend image above reflects the recent insider buying and selling activities.
The GF Value image provides a visual representation of the stock's current valuation in relation to its intrinsic value estimate.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
