NewtekOne director Gregory L. Zink buys $11,380 in company stock

In a recent transaction, Gregory L. Zink, a director of NewtekOne, Inc. (NASDAQ:NEWT), purchased shares of the company's common stock, signaling a vote of confidence in the financial services provider. On September 18, Zink acquired 1,000 shares at a price of $11.38 each, amounting to a total investment of $11,380.


This purchase has increased Zink's total holdings in NewtekOne to 32,017 shares. The acquisition was executed directly, as indicated in the latest filings, and reflects a straightforward addition to Zink's stake in the company.


Investors often monitor insider buying as it can be a sign that the company's leadership is bullish on the firm's future prospects. While this purchase alone may not be substantial enough to sway market sentiment significantly, it does contribute to the overall picture of insider activity that shareholders tend to consider.


NewtekOne, known for its financial and business services, has been a player in the national commercial banks sector, with its operations overseen from its Boca Raton, Florida headquarters. The company's stock, traded under the ticker NEWT, is followed by investors who are keen on the financial sector and insider transactions.


The details of the transaction were made public through a Form 4 filing with the Securities and Exchange Commission. As is standard practice, the form disclosed the nature of the transaction, the number of shares purchased, and the price per share.


Investors and analysts alike often review such filings to gain insight into the actions of company insiders, which can include directors, officers, and significant shareholders. These transactions are closely watched as they can provide valuable information about an insider’s perspective on the company's value and potential.


For those following NewtekOne, this latest purchase by Director Zink may be a point of interest as they assess the company's stock performance and future outlook.



In other recent news, NewtekOne, Inc. successfully closed its public offering of 8.625% Fixed Rate Senior Notes, raising $75 million in aggregate principal. The notes, which may be redeemed at par on or after October 15, 2026, are set to mature on October 15, 2029. Morgan Stanley & Co. LLC, Keefe, Bruyette & Woods, Inc., Raymond James & Associates, Inc., and UBS Securities LLC served as joint book-running managers for this offering.


In another significant development, NewtekOne appointed Andrew Kaplan as Chief Strategy Officer. Kaplan's vast experience in banking and financial services is expected to provide valuable insights for the company's strategic initiatives.


The company also divested its subsidiary, Newtek Technology Solutions, Inc., to Paltalk, Inc. The transaction involved a $4 million cash payment and 4 million shares of Paltalk's newly created preferred stock.


On the financial front, NewtekOne surpassed analysts' expectations for Q2 2024 earnings, reporting an earnings per share of $0.43 and reaffirming its full-year EPS guidance between $1.85 and $2.05. These are recent developments that highlight NewtekOne's strategic financial maneuvers and commitment to growth.
InvestingPro Insights


Director Gregory L. Zink's recent purchase of NewtekOne, Inc. (NASDAQ:NEWT) shares reflects a positive stance on the company's potential. This aligns with several metrics that are noteworthy to investors seeking deeper insights. NewtekOne boasts a high shareholder yield, which is a key indicator of the company's commitment to returning value to its investors. This is further supported by the fact that NewtekOne has maintained dividend payments for 10 consecutive years, a testament to its financial stability and reliability as an income-generating investment.


The company's financial health is underscored by its current market capitalization of $295.47 million and a robust gross profit margin of 83.07% over the last twelve months as of Q2 2024. Additionally, NewtekOne is trading at a low P/E ratio of 6.81, which is attractive when compared to its near-term earnings growth, indicating a potentially undervalued stock. The PEG ratio, which stands at 0.4, further emphasizes this point, suggesting that the company's stock price does not fully reflect its earnings growth prospects.


InvestingPro Tips reveal that analysts predict NewtekOne will be profitable this year, aligning with its demonstrated profitability over the past twelve months. For investors interested in further analysis and tips on NewtekOne, there are an additional 8 InvestingPro Tips available, which can be found at https://www.investing.com/pro/NEWT. These tips could provide valuable guidance for investors considering NewtekOne as part of their portfolio.

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Source: Investing.com