BUSE

First Busey ($BUSE) Insiders Make 50+ Purchases Over 18 Months, New President Invests $1M

11/04/2025 22:02

Regional bank First Busey ($BUSE) is drawing investor attention as company insiders have been consistently purchasing shares over the past 18 months, signaling strong confidence in the company's prospects. First Busey is an Illinois-based regional bank holding company providing personal and commercial financial services. The company is currently pursuing business expansion through its CrossFirst Bank acquisition, which analysts view as a key growth driver for the next five years. This deal is expected to improve profitability to peer levels through cost synergies and enhanced earnings power. The most notable development is the persistent insider buying by executives and directors. From June 2024 to November 2025, over 50 insider purchase transactions occurred. Director Stanley Bradshaw alone made 15 separate purchases totaling approximately $330,000 from January to November 2025. Fellow director Karen Jensen similarly invested about $470,000 across 8 transactions during the same period. Particularly impressive was new President Mike Maddox's commitment, purchasing nearly $1 million worth of shares over just three days in September 2025. This demonstrates the new management's strong confidence in the company's future. Looking at stock performance, shares started around $21 in June 2024, peaked at $27 in July, and have since traded with typical volatility, currently near $24.50. Notably, insider buying activity tends to increase whenever shares decline, particularly when prices fall below $22. Investors should watch for continued insider accumulation if shares retreat to these levels. Operational performance shows steady improvement. Third-quarter 2024 adjusted earnings of 58 cents per share beat analyst expectations of 54 cents, while first-quarter 2025 earnings of 57 cents exceeded the 53-cent consensus. Although Q1 2025 revenue fell short of expectations, overall profitability trends remain positive. The regional banking sector faces significant headwinds including net interest margin pressure from rising rates, commercial real estate loan concerns, and deposit outflows. However, the sustained insider buying at First Busey suggests management believes the company can navigate these industry-wide challenges successfully. Analyst sentiment remains constructive with an average 'buy' rating and price targets ranging from $26 to $30. Piper Sandler recently set a $30 target implying 31% upside potential, while Hovde Group assigned a market perform rating with a $25 target representing 7.7% appreciation. Key catalysts ahead include CrossFirst Bank integration benefits, which analysts expect will elevate profitability to peer levels by early 2026. The appointment of new CFO Christopher Chan in September also presents opportunities for enhanced shareholder value creation through refined financial strategies. Risk factors include commercial real estate portfolio credit quality, rising deposit costs, and loan growth challenges. However, the company has been proactive, reducing $794.6 million in high-cost deposits during Q3 while improving credit metrics. Overall, First Busey presents an intriguing investment opportunity backed by sustained insider confidence and analyst optimism despite sector headwinds. With shares trading at a discount to analyst targets, the stock may offer an attractive entry point for investors seeking regional bank exposure.