Welcome to edition 578 of Insider Weekends. Insider buying decreased last week with insiders purchasing $60.2 million of stock purchased compared to $73.76 million in the week prior. Selling also decreased significantly to $1.49 billion compared to $3.58 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 dropped to 24.79. In other words, insiders sold almost 25 times as much stock as they purchased. The Sell/Buy ratio this week was favorable compared to the prior week when the ratio stood at 48.57.
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. Crown Castle International Corp. (REIT) (CCI): $193.09
Director Landis J. Martin acquired 11,200 shares of this cellular towers REIT, paying $191.51 per share for a total amount of $2.14 million. Mr. Martin increased his stake by 8.58% to 141,755 shares with this purchase.