Cascade Bancorp: 3 Different Insiders Have Purchased Shares During The Last 30 Days

Jun.15.14 | About: Cascade Bancorp (CACB)

Summary

3 insiders purchased Cascade Bancorp 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.

Cascade Bancorp (NASDAQ:CACB) operates as the bank holding company for Bank of the Cascades that offers a range of commercial and retail banking services to small to medium-sized businesses, municipalities and public organizations, and professional and consumer relationships.

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Insider buying during the last 30 days

Here is a table of Cascade Bancorp's insider activity during the last 30 days.

Name Title Trade Date Shares Purchased Current Ownership Increase In Shares
Charles Reeves EVP June 11 10,000 36,310
shares
+38.0%
Ryan Patrick Director June 12 10,000 28,383
shares
+54.4%
Daniel Lee EVP May 29 10,500 37,329
shares
+39.1%
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There have been 30,500 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of Cascade Bancorp's insider activity by calendar month.

Month Insider buying / shares Insider selling / shares
June 2014 20,000 0
May 2014 10,500 0
April 2014 0 0
March 2014 0 0
February 2014 0 0
January 2014 0 0
December 2013 0 0
November 2013 0 0
October 2013 0 0
September 2013 0 0
August 2013 0 0
July 2013 0 0
June 2013 0 0
May 2013 0 0
April 2013 0 0
March 2013 0 0
February 2013 0 0
January 2013 0 0
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There have been 30,500 shares purchased and there have been zero shares sold by insiders since January 2013. The month of June 2014 has seen the most insider buying.

Financials

Cascade Bancorp reported the first-quarter financial results on May 8 with the following highlights:

Total interest income $12.1 million
Net income $0.9 million
Book value $4.00 per share
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The three insiders purchased their shares after these results.

Cascade Bancorp has grown its book value since 2012.

Competition

Cascade Bancorp's competitors include Pacific Continental Corporation (NASDAQ:PCBK) and Umpqua Holdings Corporation (NASDAQ:UMPQ). Here is a table comparing these companies.

Company CACB PCBK UMPQ
Market Cap: 224.56M 245.62M 3.84B
Employees: 399 290 2,490
Qtrly Rev Growth (yoy): 0.01 0.07 0.03
Revenue: 61.78M 62.68M 519.58M
Operating Margin: 0.09 0.42 0.33
Net Income: 50.09M 15.15M 93.05M
EPS: 1.06 0.83 0.83
P/E: 4.48 16.46 21.33
PEG (5 yr expected): 8.71 1.55 2.16
P/S: 3.67 3.92 7.44
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Cascade Bancorp has the lowest P/S ratio among these three companies.

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

Company Insider buying / shares Insider selling / shares
PCBK 7,119 0
UMPQ 0 7,100
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Only Cascade Bancorp has seen intensive insider buying during the last 30 days.

Conclusion

There have been three different insiders buying Cascade Bancorp and there have not been any insiders selling Cascade Bancorp during the last 30 days. All three of these insiders increased their holdings by more than 10% each. Cascade Bancorp has an insider ownership of 38.58%.

The three insiders purchased their shares at prices ranging from $4.33 to $4.74. I believe Cascade Bancorp could be a good pick below $4.74 based on the intensive insider buying.

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(Source: Investor presentation)

Disclosure: The author has no positions in any stocks mentioned, but may initiate a long position in CACB over the next 72 hours. The author wrote this article themselves, and it expresses their own opinions. The author is not receiving compensation for it (other than from Seeking Alpha). The author has no business relationship with any company whose stock is mentioned in this article.