Insider Buying: David Boyle Acquires 1000 Shares of Burke & Herbert Financial Services Corp

On September 11, 2023, David Boyle, the Chair, President, and CEO of Burke & Herbert Financial Services Corp (BHRB, Financial), purchased 1000 shares of the company. This move is significant as insider buying often signals confidence in the company's future prospects.

David Boyle is a seasoned executive with extensive experience in the financial services industry. As the Chair, President, and CEO of Burke & Herbert Financial Services Corp, he is responsible for the overall strategic direction and performance of the company. His decision to increase his stake in the company is a strong vote of confidence in its future.

Burke & Herbert Financial Services Corp is a well-established financial institution that provides a wide range of banking and financial services. The company operates through a network of branches and ATMs, offering services such as personal banking, business banking, wealth management, and mortgage services. With a market cap of $369.281 million, the company has a solid presence in the financial services sector.

Over the past year, David Boyle has purchased 1000 shares in total and sold 0 shares in total. This indicates a positive trend in insider buying for the company. The insider transaction history for Burke & Herbert Financial Services Corp shows that there have been 6 insider buys in total over the past year, with no insider sells over the same timeframe.

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The relationship between insider buying/selling and stock price is often considered a key indicator of a company's future performance. In this case, the insider's decision to buy shares could be seen as a positive signal, suggesting that the insider believes the stock is undervalued and has potential for growth.

On the day of the insider's recent buy, shares of Burke & Herbert Financial Services Corp were trading for $48.69 apiece. This gives the stock a price-earnings ratio of 27.62, which is higher than the industry median of 8.28 and lower than the company’s historical median price-earnings ratio.

With a price of $48.69 and a GuruFocus Value of $58.41, Burke & Herbert Financial Services Corp has a price-to-GF-Value ratio of 0.83. This means the stock is modestly undervalued based on its GF Value.

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The GF Value is an intrinsic value estimate developed by GuruFocus that is calculated based on historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow) that the stock has traded at, a GuruFocus adjustment factor based on the company’s past returns and growth, and future estimates of business performance from Morningstar analysts.

In conclusion, the insider's recent purchase of Burke & Herbert Financial Services Corp shares, coupled with the company's solid fundamentals and undervalued status, could be a positive signal for potential investors.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.