CITY HOLDING CO (NASDAQ:CHCO) reported that Director Diane W. Strong-Treister has purchased additional shares of the company's common stock. The transaction, which took place on October 10, 2024, involved the acquisition of 132 shares at a price of $115.0241 per share, amounting to a total investment of $15,183.
This latest purchase by Strong-Treister is part of a planned strategy, as indicated by the transaction being made pursuant to a Rule 10b5-1 Plan. Such plans allow company insiders to set up a predetermined schedule for buying and selling stocks at a time when they are not in possession of material non-public information.
Following this transaction, Strong-Treister's direct holdings in CITY HOLDING CO have increased to a total of 2,745 shares. In addition, she holds 1,900 shares indirectly by serving as a trustee for the Diane W. Strong Treister Revocable Trust.
Investors often monitor insider transactions as they can provide insights into how company executives view the stock's value and prospects. The recent purchase by the director of CITY HOLDING CO may be seen as a sign of confidence in the company's future performance.
The stock transactions are disclosed in accordance with SEC regulations, which require insiders to report their trading activities in a timely manner.
In other recent news, City Holding Company (NASDAQ:CHCO), a bank holding firm, has expanded its board from 13 to 14 members with the appointment of Major General (retired) James A. Hoyer. Hoyer's appointment is effective immediately and he will be presented for election by shareholders at the annual meeting in April 2025. He is expected to serve as a Class II director with a term expiring in 2028.
Hoyer brings a wealth of experience from his military service, including a decade as The Adjutant General for the State of West Virginia, and his post-military roles at West Virginia University and Fidelis New Energy LLC.
Chairman of the Board of City Holding Company, Dallas Kayser, expressed confidence in Hoyer's leadership and risk management skills. These recent developments indicate a strategic move by City Holding Company to enhance the board's existing expertise with Hoyer's diverse background and experiences.
InvestingPro Insights
The recent insider purchase by Director Diane W. Strong-Treister aligns with CITY HOLDING CO's (NASDAQ:CHCO) strong financial position and commitment to shareholder value. According to InvestingPro data, the company boasts a market capitalization of $1.69 billion and a P/E ratio of 14.79, suggesting a reasonable valuation relative to its earnings.
InvestingPro Tips highlight CHCO's impressive track record of dividend growth. The company has raised its dividend for 13 consecutive years and maintained dividend payments for 23 consecutive years. This consistent dividend policy is further supported by a current dividend yield of 2.74% and a remarkable dividend growth rate of 21.54% over the last twelve months.
The company's financial health is underscored by its profitability, with InvestingPro data showing an operating income margin of 51.37% for the last twelve months as of Q2 2024. This robust profitability supports the company's ability to continue its shareholder-friendly policies.
While CHCO is trading at a high P/E ratio relative to near-term earnings growth, its long-term performance remains strong, with InvestingPro Tips noting a high return over the last decade. This could explain why insiders like Strong-Treister continue to invest in the company.
For investors seeking a more comprehensive analysis, InvestingPro offers 7 additional tips for CITY HOLDING CO, providing deeper insights into the company's financial health and market position.
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