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Welcome to edition eighty three of Insider Weekends. Insider buying increased with insiders purchasing $33.1 million of their stock last week compared to $11.03 million in the week prior. Selling declined slightly with insiders selling $344.5 million worth of stock last week compared to $353.4 million in the week prior.
Insider purchases were actually muted last week as is usually the case after the end of a quarter and the start of earnings season. The increase in insider buying was primarily driven by a $21.26 million purchase of Cracker Barrel (CBRL) by 10% owner Sardar Biglari through Biglari Holdings (BH).
We wrote the following about Mr. Biglari last March following his insider purchases of Biglari Holdings,
“Young Mr. Biglari has been considered by some as the next Warren Buffett following his purchase of The Steak n Shake restaurant chain and penchant for activist value investing. He has also come under criticism by many in the value investing community on account of his compensation package and his decision to reverse split the stock twice, resulting in a stock that now has a triple digit price.
This article titled “The Restaurant Investor” (PDF) does a great job of introducing Mr. Biglari while this open letter to Mr. Biglari covers some of the criticism. As you can see from this page, he was actively buying shares last August when the stock was trading below $300.”