Why Shares of BofI Holding Popped 10% on Tuesday

By Jordan Wathen – Nov 4, 2015 at 10:57AM

NYSE: AX

Axos Financial

Market Cap

$3B

Today's Change

(2.09%) $1.08

Current Price

$52.82

Price as of April 24, 2024, 4:00 p.m. ET

Insider buying by the company's CEO likely gave the stock a lift on Monday.

What: Shares of BofI Holding (AX 2.09%) popped 10% on Tuesday as this battleground stock digests new information -- good and bad -- on a near-daily basis.

So what: BofI Holding's share price likely got a lift from a big insider purchase of the company's stock.

The company's CEO, Greg Garrabrants, purchased 6,670 shares of stock on the open market at a weighted-average price of $91.40 per share.

All in all, his purchase tallied to just under $610,000, increasing his stake to over 227,000 shares. It's a relatively big investment, equating to nearly 10% of Garrabrants' total compensation in 2015.

Now what: BofI Holding remains in the middle of a "he said, she said" exchange of words and lawsuits with a former internal auditor who has made allegations of unethical and downright fraudulent behavior by the bank and its employees. A big insider buy seems to have put the market at ease -- at least for now.

Jordan Wathen has no position in any stocks mentioned. The Motley Fool owns shares of and recommends BofI Holding. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.