United Community Financial: 3 Different Insiders Have Purchased Shares This Month

May.13.14 | About: United Community (UCFC)

Summary

3 insiders purchased United Community Financial stock within one month.

The stock was sold by no insiders in the month of intensive purchasing.

All 3 of these insiders increased their holdings by more than 10% each.

United Community Financial Corp. (NASDAQ:UCFC) operates as the holding company for The Home Savings and Loan Company of Youngstown, Ohio that provides consumer and business banking services in Ohio and Western Pennsylvania.

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Insider buying during the last 30 days

Here is a table of United Community Financial's insider activity during the last 30 days.

Name Title Trade Date Shares Purchased Current Ownership Increase In Shares
Richard Schiraldi Director May 9 10,000 103,334
shares
+10.7%
Zahid Afzal Director May 2-7 39,802 42,355 shares +1,559.0%
Marty Adams Director May 1 30,000 171,220 shares +21.2%
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There have been 79,802 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of United Community Financial's insider activity by calendar month.

Month Insider buying / shares Insider selling / shares
May 2014 79,802 0
April 2014 0 0
March 2014 7,370 0
February 2014 0 0
January 2014 0 0
December 2013 0 0
November 2013 0 2,517
October 2013 0 0
September 2013 0 0
August 2013 0 37,500
July 2013 0 0
June 2013 0 0
May 2013 0 1,752
April 2013 0 0
March 2013 19,000 10,000
February 2013 0 0
January 2013 0 0
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There have been 106,172 shares purchased and there have been 51,769 shares sold by insiders since January 2013. The month of May 2014 has seen the most insider buying.

Financials

United Community Financial reported the first-quarter financial results on April 24, with the following highlights:

Revenue $15.7 million
Net income $2.1 million
Tangible book value $3.76 per share
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The three insiders purchased their shares after these results.

Competition

United Community Financial's competitors include 1st Source Corporation (NASDAQ:SRCE) and Chemical Financial Corporation (NASDAQ:CHFC). Here is a table comparing these companies.

Company UCFC SRCE CHFC
Market Cap: 170.17M 766.76M 862.80M
Employees: 432 1,100 1,743
Qtrly Rev Growth (yoy): -0.02 0.02 0.02
Revenue: 65.94M 234.52M 247.06M
Operating Margin: 0.19 0.39 0.33
Net Income: 3.47M 55.44M 57.39M
EPS: 0.07 2.28 1.98
P/E: 47.54 13.84 14.61
PEG (5-yr. expected): N/A 2.70 3.44
P/S: 2.56 3.30 3.53
P/B: 0.90 1.30 1.24
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United Community Financial has the lowest P/B ratio among these three companies.

Here is a table of these competitors' insider activities this year.

Company Insider buying / shares Insider selling / shares
SRCE 0 1,762
CHFC 0 0
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Only United Community Financial has seen intensive insider buying during the last 30 days.

Conclusion

There have been three different insiders buying United Community Financial, and there have not been any insiders selling United Community Financial during the last 30 days. All three of these insiders increased their holdings by more than 10% each. United Community Financial has an insider ownership of 14.93%.

The three insiders purchased their shares at prices ranging from $3.35 to $3.38. I believe United Community Financial could be a good pick below $3.38, based on the intensive insider buying.

Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in UCFC over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.