Forbes notes BancorpSouth CEO’s big bet on company
Forbes takes note in its “Top Buys by Top Brass” segment that BancorpSouth CEO Dan Rollins has bought more than $830,ooo in BancorpSouth (NYSE: BXS) shares since become CEO in November:
A company’s own top management tend to have the best inside view into the business, so when company officers make major buys, investors are wise to take notice. Presumably the only reason an insider would take their hard-earned cash and use it to buy stock of their company in the open market, is that they expect to make money — maybe they find the stock very undervalued, or maybe they see exciting progress within the company, or maybe both.
Rollins, who was named BancorpSouth’s CEO on Nov. 26, receives an initial annual base salary of $700,000. According to the bank’s SEC filing at hiring, Rollins also is eligible for a bonus that matches that amount, based on performance.
“This bonus level is guaranteed by the Company for the 2013 fiscal year,” the filing states.
Also, Rollins received a $690,000 cash payment to replace what he lost after leaving Prosperity Bank in Texas. He received $470,000 when he came on board at BancorpSouth and got the balance on March 1.