In a recent transaction, Ralph Martin Gallo, Executive Vice President and Chief Operating Officer of Parke Bancorp, Inc. (NASDAQ:PKBK), sold shares in the company, according to a Form 4 filing with the Securities and Exchange Commission. The executive sold 7,700 shares at prices ranging from $19.60 to $19.64, with a weighted average price of $19.63, resulting in a total sale value of approximately $151,151.
This sale occurred on July 30, 2024, the same day Gallo also acquired 7,700 shares through the exercise of stock options at a price of $12.29 per share, totaling $94,633. Following these transactions, Gallo's direct ownership in Parke Bancorp decreased to 404 shares of common stock.
The sale at an average price of $19.63 per share represents a significant transaction for the executive of the New Jersey-based state commercial bank. The exercise of options and subsequent sale of shares on the same day is a common practice among company insiders, allowing them to convert their options into liquid assets.
Investors often monitor insider transactions for insights into executive confidence and company health. Transactions by high-level executives like Gallo can be particularly noteworthy due to their potential insight into the company's operational performance and future outlook.
Parke Bancorp, headquartered in Washington Township, New Jersey, continues to operate in the financial sector, providing banking services to its customers. The company's stock is traded on the NASDAQ under the ticker symbol PKBK.
InvestingPro Insights
Amidst the insider transactions at Parke Bancorp, Inc. (NASDAQ:PKBK), the company's financial health and performance metrics provide a broader context for investors. According to InvestingPro data, Parke Bancorp has a market capitalization of $233.99 million and a trailing twelve-month Price-to-Earnings (P/E) ratio of 10.74, indicating a valuation that may appeal to value-oriented investors. The company's Price to Book ratio over the same period stands at a modest 0.8, potentially signaling that the stock is undervalued compared to its net assets.
InvestingPro Tips for Parke Bancorp highlight a mixed financial picture. On the positive side, the company has a track record of rewarding shareholders, having raised its dividend for 10 consecutive years and maintained dividend payments for 11 consecutive years. These consistent dividend payments, coupled with a notable dividend yield of 3.68%, may attract income-focused investors. Additionally, Parke Bancorp has seen strong returns over the last month and three months, with price total returns of 21.0% and 19.11%, respectively, showcasing recent upward momentum in the stock price.
On the flip side, the company suffers from weak gross profit margins, which could be a concern for investors looking at its operational efficiency. It's also important to note that the company's revenue saw a decline of 18.1% over the last twelve months as of Q2 2024, which could indicate challenges in growing top-line sales.
For investors seeking a deeper dive into Parke Bancorp's performance and stability, there are additional InvestingPro Tips available that could provide further insights into the company's financial nuances. These tips are part of the comprehensive analysis offered by InvestingPro, which includes a fair value estimate of $17.81 for PKBK, slightly below the recent close price, suggesting that the stock might be slightly overvalued at its current trading price.
For more detailed analysis and additional InvestingPro Tips on Parke Bancorp, investors can visit: https://www.investing.com/pro/PKBK.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.