In a recent filing with the Securities and Exchange Commission, Carissa Lynn Rodeheaver, the Chairman, President, and CEO of First United Corp (NASDAQ:FUNC), participated in the company's dividend reinvestment program, acquiring additional shares valued at approximately $1,200.
The transaction, which took place on May 1, 2024, involved the purchase of 52.7338 shares of First United Corp's common stock at a price of $22.88 per share. This recent acquisition is part of a structured dividend reinvestment plan offered through a brokerage account maintained by Rodeheaver.
Following this transaction, Rodeheaver's direct holdings in the company have increased to 41,162.5061 shares. The filing also disclosed indirect ownership through family accounts, including shares held by a spouse as UTMA custodian for their son and shares held in a 401(k) plan.
Investors often monitor insider transactions as they can provide insights into executives' confidence in the company's future performance. The participation of high-level executives like Rodeheaver in stock purchase plans is typically seen as a positive signal.
The SEC filing indicated that the shares purchased through the dividend reinvestment program are in addition to shares acquired since the last report. This includes 160.0485 shares in Rodeheaver's direct holdings, 0.7427 shares held by a spouse for their son, and 25.6407 shares in a 401(k) plan.
First United Corp, headquartered in Oakland, Maryland, operates in the national commercial banks sector. The company's stock trades on the NASDAQ under the ticker symbol FUNC.
InvestingPro Insights
First United Corp (NASDAQ:FUNC) has been showcasing a mix of financial metrics that may interest investors following the company's recent insider transactions. With a market capitalization of $150.33 million, the company has demonstrated a solid price performance, with a notable six-month price total return of 32.24%. This performance aligns with one of the InvestingPro Tips, which highlights a large price uptick over the last six months.
Another key point for investors is the company's commitment to shareholder returns. According to InvestingPro Tips, First United Corp has raised its dividend for 6 consecutive years, which is underscored by a current dividend yield of 3.54%. This consistent increase in dividends may reflect the company's financial health and its ability to generate sufficient cash flow.
From a valuation standpoint, First United Corp's P/E ratio stands at 10.53, suggesting that the stock is trading at a reasonable price relative to its earnings. The company has also been profitable over the last twelve months, with an operating income margin of 28.29%, which could be a reassuring sign for investors considering the company's profit-generating capabilities.
For those interested in a deeper analysis, there are additional InvestingPro Tips available that could provide further insights into First United Corp's financial performance and outlook. Investors can explore these tips by visiting InvestingPro and can benefit from an exclusive offer using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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