Century Bancorp Director Enticed By Declining Prices

Century Bancorp Director: On October 15, Marshall M. Sloane, Director at Century Bancorp, Inc. (NASDAQ:CNBKA), acquired 304 shares of common stock, at a price of $32.70 each, for a total transaction worth $9,940.The shares will remain under indirect control, through the MMS & BJS Trust FBO Jacob George Sloane. Mr. Sloane now indirectly controls a total of 19,135.42 shares of common stock through fixed base operators at the MMS & BJS Trust, with the most important being Joshua Benjamin Kay with 5,603 shares and Rachel Sloane Kay with 5,324 shares.

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This is not the first acquisition done by Mr. Sloane this year, since according to our records, 350 shares of common stock were acquired back in April for a price of $28.09 each, or a total capital investment worth $9,831.50. Additionally, Mr. Sloane holds a total of 11,895.358 shares of common stock under his direct control, representing a total capital investment worth $392,546 approximately.

Although the stock’s price has taken a dip during the last month, registering a price of $31.31 on October 10, it has been on the rise ever since. Most notable is the clear upward trend registered through the last three years.

Today, the stock trades at 9.0 its trailing earnings, carrying a 31% discount to the industry average. Throughout the year, quarterly dividends have stood stable at $0.12, representing an annual yield of 1.48%, and no special dividends have been announced. The next dividend payout is expected to be announced in December and paid at the beginning of the next year.

Overall, Century Bancorp is a healthy company with improving revenues, net income, and assets year-over-year. Free cash on the other hand has remained at similar levels since 2010.

Disclosure: Jodor Jalit holds no position in any of the mentioned stocks.

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