Menu
Welcome to edition 448 of Insider Weekends. Insider buying continued to decline last week with insiders purchasing $7.58 million million of stock compared to $15.32 million in the week prior. Selling also declined with insiders selling $464.73 million of stock last week compared to $740.97 million in the week prior. With earnings season in full swing now, we are likely to see an increase in the volume of insider purchases over the next four to six weeks as companies exit their blackout periods.
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 61.31. In other words, insiders sold more than 61 times as much stock as they purchased. The Sell/Buy ratio this week compares unfavorably with the prior week, when the ratio stood at 48.37.
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. DISH Network Corporation (DISH): $29.8
Executive Vice President James DeFranco acquired 25,000 shares of DISH Network, paying $28.01 per share for a total amount of $700,350. Mr. DeFranco increased his stake by 1.75% to 1,453,529 shares with this purchase.