Welcome to edition sixty six of Insider Weekends. Insider buying decreased with insiders purchasing $72.5 million of their stock last week when compared to $306.6 million in the week prior. Selling also decreased with insiders selling $409.6 million worth of stock compared to $521.6 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 went up to 5.7. In other words, insiders sold almost six times as much stock as they purchased. The Sell/Buy ratio this week compares unfavorably with the week prior when the ratio stood at 1.7. We are calculating an adjusted ratio by removing transactions by funds and companies and trying as best as possible only to retain information about insiders and 10% owners who are not funds or companies.
Note: As mentioned in the first post in this series Introduction to Insider Weekends, 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. Mueller Industries Inc. (MLI): $43.42
Director Joseph S. Steinberg acquired 287,600 shares of this metal products manufacturer, paying $43.57 per share for a total amount of $12.5 million. These shares were purchased indirectly by Leucadia National Corporation (“Leucadia”). The Reporting Person is a significant shareholder, a director and the President of Leucadia
I normally exclude purchases by corporate entities like Leucadia. However I decided to include this purchase because Leucadia is a publicly traded holding company that is also sometimes referred to as a “mini Berkshire Hathaway”. Mr. Steinberg is the President of Leucadia and his Harvard Business School classmate from the class of 1970, Ian Cumming, is the Chairman of the company. Interestingly these purchases follow an agreement between the two companies to limit Leucadia’s stake to 27.5% of Mueller.
You can view the list of recent insider transactions for Mueller Industries Inc. here.
|P/E: 16.56||Forward P/E: 13.36||Industry P/E: 10.32|
|P/S: 0.71||Price/Book: 1.98||EV/EBITDA: 8.31|
|Market Cap: $1.65B||Avg. Daily Volume: 683,400||52 Week Range: $24.59 – $47.72|
2. Prospect Capital Corporation (PSEC): $8.49
Shares of this business development company were acquired by 2 insiders:
You can view the list of recent insider transactions for Prospect Capital Corporation here.
|P/E: 6.17||Forward P/E: 7.45||Industry P/E: 12.95|
|P/S: 5.56||Price/Book: 0.83||EV/EBITDA: N/A|
|Market Cap: $928.09M||Avg. Daily Volume: 2,021,210||52 Week Range: $7.41 – $12.38|
3. Owens-Illinois, Inc. (OI): $16.64
Board Chair & CEO Albert P. Stroucken acquired 121,200 shares of this manufacturer of glass containers, paying $16.56 per share for a total amount of $2 million. Mr. Stroucken increased his stake by 38.51% to 435,928 shares with this purchase.
You can view the list of recent insider transactions for Owens-Illinois, Inc. here.
|P/E: N/A||Forward P/E: 5.78||Industry P/E: 10.76|
|P/S: 0.4||Price/Book: 1.33||EV/EBITDA: 5.85|
|Market Cap: $2.73B||Avg. Daily Volume: 2,913,690||52 Week Range: $16.01 – $33.32|
4. SWS Group Inc. (SWS): $5.25
Shares of this financial services company were acquired by 4 insiders:
You can view the list of recent insider transactions for SWS Group Inc. here.
|P/E: N/A||Forward P/E: 9.05||Industry P/E: 11.83|
|P/S: 0.57||Price/Book: 0.46||EV/EBITDA: N/A|
|Market Cap: $170.83M||Avg. Daily Volume: 332,179||52 Week Range: $3.67 – $7.72|
5. Overseas Shipholding Group Inc. (OSG): $16.26
Shares of this oil tanker company were acquired by 3 insiders:
You can view the list of recent insider transactions for Overseas Shipholding Group Inc. here.
|P/E: N/A||Forward P/E: N/A||Industry P/E: 11.12|
|P/S: 0.5||Price/Book: 0.3||EV/EBITDA: 104.6|
|Market Cap: $495.34M||Avg. Daily Volume: 786,291||52 Week Range: $14.77 – $38.32|
You can view the full list of purchases from this Insider Buying page.
Notable Insider Sales:
1. Acme Packet, Inc. (APKT): $45.59
Shares of this network equipment company were sold by 2 insiders:
You can view the list of recent insider transactions for Acme Packet, Inc. here.
|P/E: 60.95||Forward P/E: 29.6||Industry P/E: 13.52|
|P/S: 11.56||Price/Book: 8.17||EV/EBITDA: 29.65|
|Market Cap: $3.02B||Avg. Daily Volume: 2,505,640||52 Week Range: $33.07 – $84.5|
2. LoopNet, Inc. (LOOP): $17.26
Shares of this operatator of an online marketplace for commercial real estate were sold by 4 insiders:
You can view the list of recent insider transactions for LoopNet, Inc. here.
|P/E: 53.94||Forward P/E: 52.3||Industry P/E: 20.65|
|P/S: 8.64||Price/Book: 4.18||EV/EBITDA: 29.51|
|Market Cap: $704.54M||Avg. Daily Volume: 280,008||52 Week Range: $9.94 – $18.95|
3. Rovi Corporation (ROVI): $44.52
Shares of this entertainment technology solutions provider were sold by 5 insiders:
You can view the list of recent insider transactions for Rovi Corporation here.
|P/E: 46.23||Forward P/E: 14.36||Industry P/E: 13.39|
|P/S: 7.99||Price/Book: 2.71||EV/EBITDA: 23.12|
|Market Cap: $4.89B||Avg. Daily Volume: 1,278,490||52 Week Range: $41.17 – $69.5|
4. Rackspace Hosting, Inc (RAX): $35.17
Shares of this server and cloud hosting company were sold by 3 insiders:
You can view the list of recent insider transactions for Rackspace Hosting, Inc here.
|P/E: 83.74||Forward P/E: 44.52||Industry P/E: 31.11|
|P/S: 5.26||Price/Book: 9.15||EV/EBITDA: 18.62|
|Market Cap: $4.59B||Avg. Daily Volume: 1,953,000||52 Week Range: $20.88 – $46.49|
5. Chicago Bridge & Iron Company N.V. (CBI): $33.87
President and CEO Philip K. Asherman sold 75,000 shares of this provider of engineering and construction services for $35.42, generating $2.7 million from the sale.
You can view the list of recent insider transactions for Chicago Bridge & Iron Company N.V. here.
|P/E: 14.91||Forward P/E: 11.1||Industry P/E: 11.38|
|P/S: 0.9||Price/Book: 3.05||EV/EBITDA: 8.03|
|Market Cap: $3.34B||Avg. Daily Volume: 1,128,990||52 Week Range: $22.72 – $45.12|
You can view the full list of sales from this Insider Sales page.