Quite a few insiders have dramatically grown their holdings in United Security Bancshares (NASDAQ:UBFO) over the past 12 months. An insider's optimism about the company's prospects is a positive sign.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

Check out our latest analysis for United Security Bancshares

The Last 12 Months Of Insider Transactions At United Security Bancshares

Over the last year, we can see that the biggest insider purchase was by Independent Director Jagroop Gill for US$1.1m worth of shares, at about US$7.96 per share. That means that even when the share price was higher than US$7.71 (the recent price), an insider wanted to purchase shares. Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.

Over the last year, we can see that insiders have bought 221.71k shares worth US$1.7m. On the other hand they divested 5.20k shares, for US$41k. In total, United Security Bancshares insiders bought more than they sold over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insiders At United Security Bancshares Have Bought Stock Recently

Over the last quarter, United Security Bancshares insiders have spent a meaningful amount on shares. Overall, two insiders shelled out US$1.3m for shares in the company -- and none sold. This makes one think the business has some good points.

Insider Ownership Of United Security Bancshares

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. United Security Bancshares insiders own about US$28m worth of shares. That equates to 21% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.