Welcome to edition 474 of Insider Weekends. Insider buying was lackluster last week with insiders purchasing just $10.39 million of stock last week compared to $54.38 million in the week prior. This is the fourth week in a row we have seen a decline in insider buying and coincides with the earnings related quiet period. We should see a seasonal pick up in insider activity in August. Selling also decreased with insiders selling $450.43 million of stock last week compared to $613.73 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 43.36. 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 11.29.
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. W&T Offshore, Inc. (WTI): $4.83
Chairman, CEO & President Tracy W. Krohn acquired 200,300 shares of this independent oil and natural gas producer, paying $4.63 per share for a total amount of $927,398. Mr. Krohn increased his stake by 0.44% to 46,212,598 shares with this purchase.
Mr. Krohn founded W&T Offshore in 1983 and has been the CEO of the company since its founding. The last time Mr. Krohn purchased shares was in August and September of 2017 when the stock was trading at or below the $2 level. Those purchases were timed very well as the stock went on to nearly quadruple from his purchase price over the course of a year.
You can view the list of recent insider transactions for W&T Offshore, Inc. here.
|P/E: 4.09||Forward P/E: 11.23||Industry P/E: 4.52|
|P/S: 1.21||Price/Book: N/A||EV/EBITDA: 3.8|
|Market Cap: $679.31M||Avg. Daily Volume: 2,431,863||52 Week Range: $3.62 – $9.88|
2. DXC Technology Company (DXC): $55.93
President and CEO John M. Lawrie acquired 4,166 shares of this information technology services company, paying $56.26 per share for a total amount of $234,384. Mr. Lawrie increased his stake by 0.47% to 897,822 shares with this purchase.
You can view the list of recent insider transactions for DXC Technology Company here.
|P/E: 12.5||Forward P/E: 5.83||Industry P/E: 22.05|
|P/S: 0.72||Price/Book: 1.32||EV/EBITDA: 4.7|
|Market Cap: $14.9B||Avg. Daily Volume: 2,667,452||52 Week Range: $46.46 – $96.75|
3. OPKO Health, Inc. (OPK): $2.07
CEO & Chairman Phillip Frost M.D. acquired 100,000 shares of this devices and drug development company, paying $2.14 per share for a total amount of $213,769. These shares were purchased indirectly by Frost Nevada Investments Trust.
You can view the list of recent insider transactions for OPKO Health, Inc. here.
|P/E: N/A||Forward P/E: -13.8||Industry P/E: 30.63|
|P/S: 1.33||Price/Book: 0.72||EV/EBITDA: -15.21|
|Market Cap: $1.27B||Avg. Daily Volume: 4,624,585||52 Week Range: $1.73 – $6.16|
4. Oramed Pharmaceuticals Inc. (ORMP): $3.89
Director Leonard Sank acquired 55,837 shares of this biotech company, paying $3.58 per share for a total amount of $199,961. Mr. Sank increased his stake by 18.98% to 349,999 shares with this purchase.
You can view the list of recent insider transactions for Oramed Pharmaceuticals Inc. here.
|P/E: N/A||Forward P/E: -3.57||Industry P/E: 97.98|
|P/S: 25.62||Price/Book: 3.14||EV/EBITDA: -2.66|
|Market Cap: $67.62M||Avg. Daily Volume: 42,896||52 Week Range: $2.78 – $5.89|
5. FedEx Corporation (FDX): $167.13
Director John C. Inglis acquired 600 shares of FedEx, paying $167.69 per share for a total amount of $100,614. Mr. Inglis increased his stake by 14.94% to 4,615 shares with this purchase.
You can view the list of recent insider transactions for FedEx Corporation here.
|P/E: 82.33||Forward P/E: 10.22||Industry P/E: 20.75|
|P/S: 0.63||Price/Book: 2.45||EV/EBITDA: 11.93|
|Market Cap: $43.59B||Avg. Daily Volume: 2,235,490||52 Week Range: $150.68 – $259.25|
You can view the full list of purchases from this Insider Buying page.
Notable Insider Sales:
1. Garmin Ltd. (GRMN): $81.08
Executive Chairman Min H. Kao sold 771,068 shares of this GPS manufacturer for $80.21, generating $61.85 million from the sale. These shares were sold indirectly by Mr. Kao’s children.
You can view the list of recent insider transactions for Garmin Ltd. here.
|P/E: 21.8||Forward P/E: 20.9||Industry P/E: 33.7|
|P/S: 4.52||Price/Book: 3.57||EV/EBITDA: 15.97|
|Market Cap: $15.39B||Avg. Daily Volume: 1,071,296||52 Week Range: $59.98 – $89.72|
2. Shake Shack Inc. (SHAK): $74.17
Director Jonathan D. Sokoloff sold 313,720 shares of this restaurants chain for $74.44, generating $23.35 million from the sale. These shares were sold indirectly by Green Equity Investors Side VI, L.P.
You can view the list of recent insider transactions for Shake Shack Inc. here.
|P/E: 158.15||Forward P/E: 100.23||Industry P/E: 68.51|
|P/S: 5.59||Price/Book: 9.32||EV/EBITDA: 38.03|
|Market Cap: $2.76B||Avg. Daily Volume: 731,000||52 Week Range: $40.67 – $76.49|
3. Inspire Medical Systems, Inc. (INSP): $67.71
Shares of this medical devices company were sold by 3 insiders:
- Director Joyce Erony sold 241,912 shares for $67.82, generating $16.41 million from the sale. These shares were sold indirectly by Amzak Health.
- Director Mudit K. Jain sold 4,800 shares for $66.72, generating $320,257 from the sale.
- Chief Financial Officer Richard Buchholz sold 4,000 shares for $68.34, generating $273,360 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 Inspire Medical Systems, Inc. here.
|P/E: N/A||Forward P/E: -42.32||Industry P/E: 32.8|
|P/S: 28.38||Price/Book: 10.11||EV/EBITDA: -61.95|
|Market Cap: $1.61B||Avg. Daily Volume: 310,968||52 Week Range: $35.43 – $69.708|
4. Ross Stores, Inc. (ROST): $106.61
Shares of this apparel stores company were sold by 2 insiders:
- President, Chief Dev. Officer James S. Fassio sold 85,238 shares for $104.85, generating $8.94 million from the sale. These shares were sold indirectly by a trust.
- Director George Orban sold 29,000 shares for $105.89, generating $3.07 million from the sale.
You can view the list of recent insider transactions for Ross Stores, Inc. here.
|P/E: 24.8||Forward P/E: 21.45||Industry P/E: 38.55|
|P/S: 2.56||Price/Book: 11.92||EV/EBITDA: 17.26|
|Market Cap: $38.88B||Avg. Daily Volume: 2,405,250||52 Week Range: $75.91 – $108.2|
5. Workday, Inc. (WDAY): $214.24
Shares of this software application company were sold by 7 insiders:
- Co-President & CFO Robynne Sisco sold 10,235 shares for $218.42, generating $2.24 million from the sale.
- Chief Products Officer Petros Dermetzis sold 7,240 shares for $219.03, generating $1.59 million from the sale.
- Co-President Gomez Luciano Fernandez sold 6,922 shares for $218.34, generating $1.51 million from the sale.
- Chief Executive Officer Aneel Bhusri sold 6,576 shares for $219.15, generating $1.44 million from the sale.
- COO & Executive Vice President James Bozzini sold 5,143 shares for $219.15, generating $1.13 million from the sale.
- SVP, General Counsel & Secretary James P. Shaughnessy sold 1,327 shares for $219.01, generating $290,626 from the sale.
- Director David A. Duffield sold 281 shares for $219.67, generating $61,727 from the sale.
You can view the list of recent insider transactions for Workday, Inc. here.
|P/E: N/A||Forward P/E: 95.22||Industry P/E: 125.54|
|P/S: 15.99||Price/Book: 23.57||EV/EBITDA: -178.12|
|Market Cap: $48.42B||Avg. Daily Volume: 1,658,084||52 Week Range: $117.72 – $226.83|
You can view the full list of sales from this Insider Sales page.
Disclaimer: I hold a long position in WorkDay (WDAY). 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.