This insider just bought a bucketload of NAB shares

NAB insiders have been busy in 2024 so far…

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Investors who own the ASX 200 bank share National Australia Bank Ltd (ASX: NAB) have more than a few reasons to be smiling today.

For one, the NAB share price is having a solid Tuesday so far, currently up a happy 0.64% at $35.56 a share.

But NAB shares have also had one of their best years in quite a long time over the past 12 months. A year ago, this ASX bank was going for $25.64 a share. That means investors have enjoyed a near 39% gain since July 2023. The shares are also up a healthy 15.21% in 2024 to date.

Check all that out for yourself below:

If we add on the returns from NAB's generous dividends, we're looking at a 12-month gain well north of 40%. And that's before we even factor in the full franking credits from NAB's dividends.

Needless to say, NAB shareholders can't ask for much better than this.

But even so, there's another piece of good news for NAB shareholders to digest this July. That would be a massive insider buy for this bank stock.

NAB insiders buy up shares

According to an ASX filing from 3 July earlier this month, one of NAB's directors has picked up a significant parcel of new shares.

The filing reveals that NAB board member and non-executive director Sarah Carolyn Kay picked up an additional 2,000 NAB shares on 3 July in an on-market trade. Kay spent $70,880 on this trade, implying that she paid an average share price of $35.44 for those 2,000 shares of stock.

This trade increases Kay's total NAB shareholding to 6,182 shares. At today's share pricing, that parcel would be worth just under $220,000.

Kay has been on NAB's board since July 2023. In May, she purchased 1,500 NAB shares, paying $34.75 a share.

But Kay isn't the only NAB insider that's been buying up shares in 2024.

May was a busy month for these insiders. Another board member in non-executive director Alison Kitchen purchased 4,380 NAB shares back on 7 May for a total sum of $148,920. That implies a purchase price of $34. Kitchen is now the proud owner of 6,120 NAB shares in total.

Christine Fellowes, another non-executive director, also bought up some shares on 8 May. She purchased 1,457 shares, paying $49,931.39 for the privilege. That works out to be an average buy price of $34.27. Fellowes now holds 4,895 NAB shares in her name.

All of these directors would now be glad they bought, considering NAB shares are trading at a higher level today than all of these purchase prices.

Investors of all stripes usually like to see management and insider figures buy up shares of the companies they are well-paid to run. It aligns their financial interest closer to other shareholders. It also 'puts the money where the mouths are' by showing to investors that they have some skin in the game.

So no doubt NAB shareholders will welcome all of this news. But let's see where the shares of this ASX 200 bank stock go from here.

Motley Fool contributor Sebastian Bowen has positions in National Australia Bank. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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