Welcome to edition 359 of Insider Weekends. Insider buying decreased with insiders buying $106.38 million of stock compared to $318.69 million in the week prior. Selling increased more than tenfold with insiders selling $4.63 billion of stock last week compared to $400.52 million in the week prior.
Sell/Buy Ratio: The insider Sell/Buy ratio is calculated by dividing the total insider sales in a given week by total insider purchases that week. The adjusted ratio for last week spiked to 43.28. In other words, insiders sold more than 43 times as much stock as they purchased. The Sell/Buy ratio this week compares unfavorably with the prior week, when the ratio stood at 1.26.
Note: As mentioned in the first post in this series, certain industries have their preferred metrics such as same store sales for retailers, funds from operations (FFO) for REITs and revenue per available room (RevPAR) for hotels that provide a better basis for comparison than simple valuation metrics. However metrics like Price/Earnings, Price/Sales and Enterprise Value/EBITDA included below should provide a good starting point for analyzing the majority of stocks.
Notable Insider Buys:
1. Carvana Co. (CVNA): $10.92
Shares of this e-commerce platform for buying used cars were acquired by 4 insiders:
Carvana went public on April 28th at a price of $15 and some of these insider purchases were related to purchases in the IPO. We normally tend not to feature IPO related purchases but decided to make an exception in this case. The IPO was not very well received and the stock dropped as low as $8.14 on May 4th. All of these insiders also purchased shares on the open market after the stock had dropped a lot. As investors in TrueCar (TRUE) have realized, getting in early in some of these businesses can translate into a lucrative but also a very volatile ride.
You can view the list of recent insider transactions for Carvana Co. here.
P/E: -9.92 | Forward P/E: N/A | Industry P/E: 26.09 |
P/S: N/A | Price/Book: N/A | EV/EBITDA: N/A |
Market Cap: $1.82B | Avg. Daily Volume: 3,408,606 | 52 Week Range: $8.14 – $13.94 |
2. Biogen Inc. (BIIB): $262.15
Shares of this biotech company were acquired by 2 insiders:
You can view the list of recent insider transactions for Biogen Inc. here.
P/E: 16.42 | Forward P/E: 11.58 | Industry P/E: 13.51 |
P/S: N/A | Price/Book: 4.84 | EV/EBITDA: N/A |
Market Cap: $56B | Avg. Daily Volume: 1,618,595 | 52 Week Range: $223.02 – $333.65 |
3. DDR Corp. (DDR): $9.89
Shares of this shopping center REIT were acquired by 2 insiders:
The 52 week low list had recently been dominated by retail REITs as they face two strong headwinds in the form of rising interest rates and the shutting down of a record number of physical retail stores. I have been watching this group of about 25 companies with a lot of interest and insider purchases within the group may be one indicator of whether it is time to start fishing in this pond. Significant insider sales despite a decline in the stock as we saw in the case of the retail REIT Regency Centers Corporation (REG) in early March give me pause.
You can view the list of recent insider transactions for DDR Corp. here.
P/E: -57.5 | Forward P/E: 247.25 | Industry P/E: 28.34 |
P/S: N/A | Price/Book: 1.31 | EV/EBITDA: N/A |
Market Cap: $3.61B | Avg. Daily Volume: 5,726,296 | 52 Week Range: $9.61 – $19.92 |
4. Agree Realty Corporation (ADC): $46.02
Shares of this retail REIT were acquired by 2 insiders:
You can view the list of recent insider transactions for Agree Realty Corporation here.
P/E: 21.36 | Forward P/E: 26.76 | Industry P/E: 28.34 |
P/S: N/A | Price/Book: 1.75 | EV/EBITDA: N/A |
Market Cap: $1.21B | Avg. Daily Volume: 189,591 | 52 Week Range: $40.52 – $51.5 |
5. Cliffs Natural Resources Inc. (CLF): $6.28
Shares of this mining and natural resources company were acquired by 8 insiders:
You can view the list of recent insider transactions for Cliffs Natural Resources Inc. here.
P/E: 36.73 | Forward P/E: 6.9 | Industry P/E: 19.92 |
P/S: N/A | Price/Book: N/A | EV/EBITDA: N/A |
Market Cap: $1.86B | Avg. Daily Volume: 21,822,337 | 52 Week Range: $2.77 – $12.37 |
You can view the full list of purchases from this Insider Buying page.
Notable Insider Sales:
1. Microsoft Corporation (MSFT): $69
Shares of Microsoft were sold by 3 insiders:
You can view the list of recent insider transactions for Microsoft Corporation here.
P/E: 30.46 | Forward P/E: 20.78 | Industry P/E: 31.05 |
P/S: N/A | Price/Book: 7.64 | EV/EBITDA: N/A |
Market Cap: $532.72B | Avg. Daily Volume: 21,821,433 | 52 Week Range: $48.04 – $69.71 |
2. Amazon.com, Inc. (AMZN): $934.15
Shares of Amazon were sold by 3 insiders:
You can view the list of recent insider transactions for Amazon.com, Inc. here.
P/E: 175.92 | Forward P/E: 80.18 | Industry P/E: 64 |
P/S: 3.13 | Price/Book: 20.6 | EV/EBITDA: 35.94 |
Market Cap: $446.5B | Avg. Daily Volume: 3,196,853 | 52 Week Range: $671.41 – $954.4 |
3. Facebook, Inc. (FB): $150.24
Shares of Facebook were sold by 3 insiders:
You can view the list of recent insider transactions for Facebook, Inc. here.
P/E: 43.01 | Forward P/E: 22.36 | Industry P/E: 36.15 |
P/S: N/A | Price/Book: 7.32 | EV/EBITDA: N/A |
Market Cap: $435.3B | Avg. Daily Volume: 15,905,870 | 52 Week Range: $108.23 – $153.6 |
4. Apollo Global Management, LLC (APO): $26.45
Shares of this private equity firm were sold by 2 insiders:
You can view the list of recent insider transactions for Apollo Global Management, LLC here.
P/E: 12.54 | Forward P/E: 9.62 | Industry P/E: 2 |
P/S: N/A | Price/Book: 5.87 | EV/EBITDA: N/A |
Market Cap: $10.8B | Avg. Daily Volume: 1,917,101 | 52 Week Range: $14.25 – $27.78 |
5. Juniper Networks, Inc. (JNPR): $30.55
Shares of this network infrastructure company were sold by 5 insiders:
You can view the list of recent insider transactions for Juniper Networks, Inc. here.
P/E: 19.32 | Forward P/E: 12.94 | Industry P/E: 9.83 |
P/S: N/A | Price/Book: 2.32 | EV/EBITDA: N/A |
Market Cap: $11.58B | Avg. Daily Volume: 4,583,024 | 52 Week Range: $21.18 – $30.96 |
You can view the full list of sales from this Insider Sales page.
Disclaimer: Please do your own due diligence before buying or selling any securities mentioned in this article. We do not warrant the completeness or accuracy of the content or data provided in this article.
Connect with me on LinkedIn: http://www.linkedin.com/in/asifsuria or follow me on Twitter @asifsuria