It is usually uneventful when a single insider buys stock. However, When quite a few insiders buy shares, as it happened in Affinity Bancshares, Inc.'s (NASDAQ:AFBI) case, it's fantastic news for shareholders.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

See our latest analysis for Affinity Bancshares

The Last 12 Months Of Insider Transactions At Affinity Bancshares

In the last twelve months, the biggest single purchase by an insider was when Independent Director Robin Reich bought US$89k worth of shares at a price of US$14.86 per share. We do like to see buying, but this purchase was made at well below the current price of US$21.23. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

Affinity Bancshares insiders may have bought shares in the last year, but they didn't sell any. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Does Affinity Bancshares Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Affinity Bancshares insiders own 20% of the company, worth about US$28m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Affinity Bancshares Insiders?

It doesn't really mean much that no insider has traded Affinity Bancshares shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. Insiders do have a stake in Affinity Bancshares and their transactions don't cause us concern. I like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph.

But note: Affinity Bancshares may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.