Over the last few days, shares of New York Community Bancorp (NYCB) gapped from about $10.45 to a low of $3.60. All after getting beaten down by a write-down on commercial real estate loans, and a dividend cut. However, insiders are quickly buying up the battered stock.
Executive Chairman Alessandro DiNello paid $209,480 for 50,000 shares at an average price of $4.19. Director Peter Schoels bought 100,000 shares for just over $414,750. Lee Smith, senior executive vice president, bought 25,000 for just over $101,250. And President and CEO Thomas Cangemi paid $49,900 for 11,310 shares of NYCB to name a few.
NYCB is also technically oversold on RSI, MACD, and Williams’ %R, and hasn’t been this cheap since 2009. It’s also trading at less than half of growth, with a PEG ratio of 0.47. It’s trading at less than sales, with a price to sales ratio of 0.96. It’s also trading at about a third of book.