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Insider Weekends – May 10, 2013

  • May 12, 2013

Welcome to edition 152 of Insider Weekends. Insider buying increased with insiders purchasing $66.13 million of their stock last week compared to $21.26 million in the week prior. Selling also increased with insiders selling $2.06 billion of stock last week compared to $1.94 billion 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 decreased to 31.13. In other words, insiders sold more than 31 times as much stock as they purchased. The Sell/Buy ratio this week compares favorably with the prior week, when the ratio stood at 91.2. 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.

Insider Sell Buy Ratio May 10, 2013
Insider Sell Buy Ratio May 10, 2013

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. JPMorgan Chase & Co. (JPM): $48.96

Director James S. Crown acquired 301,477 shares of JPMorgan, paying $47.29 per share for a total amount of $14.26 million. These shares were purchased indirectly through family funds.

You can view the list of recent insider transactions for JPMorgan Chase & Co. here.

P/E: 8.74Forward P/E: 8.24Industry P/E: 22.17
P/S: 2.06Price/Book: 0.95EV/EBITDA: N/A
Market Cap: $186.94BAvg. Daily Volume: 23,496,50052 Week Range: $30.83 – $51

2. Independent Bank Group, Inc. (IBTX): $29

Shares of this regional bank were acquired by 4 insiders:

  • Director Stacy G. Smith acquired 82,850 shares, paying $26.21 per share for a total amount of $2,171,496. 19,230 of these shares were acquired indirectly by SCW Partners, LLC.
  • Director Craig E. Holmes acquired 3,500 shares, paying $28.97 per share for a total amount of $101,393. Mr. Holmes increased his stake by 364.58% to 4,460 shares with this purchase.
  • EVP/CFO Michelle S. Hickox acquired 1,500 shares, paying $28.97 per share for a total amount of $43,455. Ms. Hickox increased her stake by 18.75% to 9,500 shares with this purchase.
  • Vice Chairman and CLO Brian E. Hobart acquired 500 shares, paying $28.70 per share for a total amount of $14,350. Mr. Hobart increased his stake by 0.24% to 211,011 shares with this purchase.

You can view the list of recent insider transactions for Independent Bank Group, Inc. here.

P/E: 18.59Forward P/E: 14.95Industry P/E: N/A
P/S: 5.13Price/Book: 2.01EV/EBITDA: N/A
Market Cap: $332.60MAvg. Daily Volume: 38,03752 Week Range: $27.54 – $31.11

3. ABIOMED, Inc. (ABMD): $22.4

Director Henri A. Termeer acquired 100,000 shares of this medical devices company, paying $19.86 per share for a total amount of $1,986,410. Mr. Termeer increased his stake by 54.83% to 282,398 shares with this purchase.

You can view the list of recent insider transactions for ABIOMED, Inc. here.

P/E: 60.54Forward P/E: 37.97Industry P/E: 20.11
P/S: 5.14Price/Book: 5.93EV/EBITDA: 35.42
Market Cap: $864.66MAvg. Daily Volume: 475,48452 Week Range: $11.8 – $26.17

4. Luminex Corporation (LMNX): $18.38

Director Walter G. Loewenbaum II acquired 93,235 shares of this biological testing and diagnostics company, paying $17.18 per share for a total amount of $1,601,980. Mr. Loewenbaum increased his stake by 16.40% to 661,627 shares with this purchase.

You can view the list of recent insider transactions for Luminex Corporation here.

P/E: 117.82Forward P/E: 32.82Industry P/E: 21.75
P/S: 3.48Price/Book: 2.8EV/EBITDA: 18.32
Market Cap: $764.37MAvg. Daily Volume: 176,10352 Week Range: $15.39 – $25.79

5. Walter Energy, Inc. (WLT): $19.59

Shares of this metallurgical coal producer were acquired by 11 insiders:

  • Director Michael T. Tokarz acquired 25,000 shares, paying $17.75 per share for a total amount of $443,750. Mr. Tokarz increased his stake by 43.22% to 82,844 shares with this purchase.
  • Director Joseph B. Leonard acquired 16,700 shares, paying $17.73 per share for a total amount of $296,091. Mr. Leonard increased his stake by 229.27% to 23,984 shares with this purchase.
  • Director Bernard G. Rethore acquired 10,000 shares, paying $17.56 per share for a total amount of $175,600. Mr. Rethore increased his stake by 108.18% to 19,244 shares with this purchase.
  • Chief Executive Officer Walter J. Scheller acquired 8,585 shares, paying $17.57 per share for a total amount of $150,838. Mr. Scheller increased his stake by 21.62% to 48,291 shares with this purchase.
  • Sr VP-General Counsel & Secretary Earl H. Doppelt acquired 5,000 shares, paying $17.40 per share for a total amount of $87,000. Mr. Doppelt increased his stake by 19.85% to 30,185 shares with this purchase.
  • Director David R. Beatty acquired 5,000 shares, paying $17.72 per share for a total amount of $88,600. Mr. Beatty increased his stake by 35.57% to 19,057 shares with this purchase.
  • Director A J. Wagner acquired 5,000 shares, paying $18.89 per share for a total amount of $94,450. These shares were purchased indirectly through a Self-managed IRA.
  • Sr. VP-Chief Financial Officer William G. Harvey acquired 5,000 shares, paying $17.56 per share for a total amount of $87,800. Mr. Harvey increased his stake by 59.69% to 13,377 shares with this purchase.
  • SVP, Project Development Charles C. Stewart acquired 3,000 shares, paying $16.81 per share for a total amount of $50,430. Mr. Stewart increased his stake by 8.73% to 37,379 shares with this purchase.
  • Director Jerry W. Kolb acquired 2,835 shares, paying $17.69 per share for a total amount of $50,151. Mr. Kolb increased his stake by 23.91% to 14,690 shares with this purchase.
  • Director Mary R. Henderson acquired 2,000 shares, paying $17.66 per share for a total amount of $35,320. Ms. Henderson increased her stake by 79.90% to 4,503 shares with this purchase.

You can view the list of recent insider transactions for Walter Energy, Inc. here.

P/E: N/AForward P/E: 21.06Industry P/E: 14.14
P/S: 0.53Price/Book: 1.25EV/EBITDA: 12.41
Market Cap: $1.23BAvg. Daily Volume: 4,722,28052 Week Range: $16.08 – $62.6

You can view the full list of purchases from this Insider Buying page.

Notable Insider Sales:

1. Facebook, Inc. (FB): $26.68

Shares of Facebook were sold by 3 insiders:

  • Director James Breyer sold 1,331,609 shares for $28.54, generating $38 million from the sale. These shares were sold indirectly through a trust.
  • Chief Operating Officer Sheryl Sandberg sold 176,452 shares for $27.25, generating $4.8 million from the sale. 6,696 of these shares were sold indirectly through a trust
  • Chief Financial Officer David A. Ebersman sold 23,400 shares for $27.91, generating $653,211 from the sale.

You can view the list of recent insider transactions for Facebook, Inc. here.

P/E: 580Forward P/E: 34.65Industry P/E: 21.79
P/S: 11.91Price/Book: 5.51EV/EBITDA: 43.74
Market Cap: $64.51BAvg. Daily Volume: 39,649,80052 Week Range: $17.55 – $45

2. Cabela’s Incorporated (CAB): $67.81

Shares of this sporting goods retailer were sold by 2 insiders:

  • Chairman Richard N. Cabela sold 280,964 shares for $63.80, generating $17.9 million from the sale. These shares were sold indirectly by Cabela’s Family, LLC.
  • Director Michael R. McCarthy sold 207,800 shares for $64.25, generating $13.4 million from the sale. These shares were sold indirectly by MGL Holdings, LLC

You can view the list of recent insider transactions for Cabela’s Incorporated here.

P/E: 24.95Forward P/E: 17.61Industry P/E: N/A
P/S: 1.42Price/Book: 3.28EV/EBITDA: 16.95
Market Cap: $4.78BAvg. Daily Volume: 703,91152 Week Range: $33.1 – $68.13

3. The Charles Schwab Corporation (SCHW): $18.09

Shares of this investment brokerage were sold by 2 insiders:

  • Chairman Charles R. Schwab sold 1,500,000 shares for $16.97, generating $25.4 million from the sale.
  • Director Stephen T. McLin sold 5,244 shares for $17.38, generating $91,143 from the sale. These shares were sold as a result of exercising options immediately prior to the sale.

You can view the list of recent insider transactions for The Charles Schwab Corporation here.

P/E: 26.29Forward P/E: 20.79Industry P/E: 22.67
P/S: 4.73Price/Book: 2.36EV/EBITDA: N/A
Market Cap: $23.88BAvg. Daily Volume: 9,075,29052 Week Range: $11.64 – $18.34

4. MSC Industrial Direct Co. Inc. (MSM): $82.63

Shares of this industrial products distributor were sold by 7 insiders:

  • Director Mitchell Jacobson sold 83,400 shares for $80.11, generating $6.7 million from the sale. Some of these shares were sold indirectly through a trust.
  • President and CEO Erik Gershwind sold 41,050 shares for $80.34, generating $3.3 million from the sale.
  • Executive VP, Sales Thomas Cox sold 10,392 shares for $79.80, generating $829,238 from the sale. These shares were sold as a result of exercising options immediately prior to the sale.
  • EVP and CFO Jeffrey Kaczka sold 4,951 shares for $81.01, generating $401,088 from the sale. These shares were sold as a result of exercising options immediately prior to the sale.
  • EVP of Human Resources Eileen McGuire sold 2,791 shares for $80.03, generating $223,361 from the sale.
  • VP, Finance and Controller Christopher Davanzo sold 2,188 shares for $80.07, generating $175,188 from the sale. 2,000 of  these shares were sold as a result of exercising options immediately prior to the sale.
  • Senior VP and CIO Charles Bonomo sold 1,287 shares for $80.81, generating $104,003 from the sale.

You can view the list of recent insider transactions for MSC Industrial Direct Co. Inc. here.

P/E: 20.25Forward P/E: 18.04Industry P/E: N/A
P/S: 2.14Price/Book: 3.95EV/EBITDA: 10.54
Market Cap: $5.23BAvg. Daily Volume: 384,43352 Week Range: $61.39 – $87.92

5. Gentex Corp. (GNTX): $24.58

Shares of this auto and aerospace parts company were sold by 5 insiders:

  • Chairman of the Board & CEO Fred Bauer sold 418,632 shares for $24.52, generating $10.3 million from the sale.
  • VP Finance & Treasurer Steven A. Dykman sold 7,680 shares for $24.50, generating $188,166 from the sale.
  • Senior Vice President Mark W. Newton sold 3,840 shares for $24.37, generating $93,582 from the sale.
  • Senior Vice President Bruce A. Los sold 3,500 shares for $24.14, generating $84,503 from the sale.
  • Vice President, Operations Paul V. Flynn sold 2,325 shares for $24.56, generating $57,094 from the sale.

You can view the list of recent insider transactions for Gentex Corp. here.

P/E: 21.01Forward P/E: 18.07Industry P/E: 10.34
P/S: 3.23Price/Book: 2.99EV/EBITDA: 10.08
Market Cap: $3.50BAvg. Daily Volume: 905,82152 Week Range: $14.38 – $24.76

You can view the full list of sales from this Insider Sales page.