Mohit Ramani, Chief Risk Officer at KeyCorp (KEY), recently bought 10,000 shares. The buy is an initial position for the officer, and came to a total cost of $137,500.
He was joined by three company directors who were also initial buyers. Their purchases ranged from 100 shares for less than $1,500 to 750 shares for just over $10,380. Going further back, company executives were more likely to be sellers, including the sale of just over $1 million shares from the company CEO in February.
Overall, KeyCorp insiders own 0.3% of shares.
The regional bank has traded flat over the past 12 months, with recent market fears weighing on the company. Operationally, the bank has fared better, with revenues up 16% in a challenging environment, and earnings growth rising by 85%.
Today, KeyCorp trades at about 9 times earnings, and just slightly below its book value.
Action to take: The bank is reasonably valued, and should perform well if its growth holds up. If interest rates trend lower later this year, activity could pick up further. That all points to a reasonably-valued growth play now.
Plus, at current prices, KeyCorp pays a hefty 5.6% dividend.
For traders, KeyCorp has started to trend higher in the short-term. As a rebound play, the June $16 calls, last trading for about $0.30, could see high double-digit returns by expiration.
Disclosure: The author of this article has no position in the company mentioned here, but may trade after the next 72 hours. The author receives no compensation from any company mentioned in this article.