Investors who take an interest in LendingClub Corporation (NYSE:LC) should definitely note that the Independent Director, Michael Zeisser, recently paid US$9.35 per share to buy US$187k worth of the stock. That's a very decent purchase to our minds and it grew their holding by a solid 13%.

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LendingClub Insider Transactions Over The Last Year

Notably, that recent purchase by Independent Director Michael Zeisser was not the only time they bought LendingClub shares this year. Earlier in the year, they paid US$12.88 per share in a US$258k purchase. That means that an insider was happy to buy shares at above the current price of US$10.33. It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Michael Zeisser was the only individual insider to buy shares in the last twelve months.

Michael Zeisser purchased 40.00k shares over the year. The average price per share was US$11.12. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Check out our latest analysis for LendingClub

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Does LendingClub Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that LendingClub insiders own 3.0% of the company, worth about US$35m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The LendingClub Insider Transactions Indicate?

It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. Insiders likely see value in LendingClub shares, given these transactions (along with notable insider ownership of the company). In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing LendingClub. At Simply Wall St, we found 1 warning sign for LendingClub that deserve your attention before buying any shares.

Of course LendingClub may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.