Insiders (officer, director, key employees or large shareholder with potential access to non-public information about the company) are better informed as normal investors. They know the company better as every analyst or ordinary employee and they can benefit from this information advantage. Insider sells often show the intention of better-informed persons to their investments. In many cases, the company became worse after insider sold stocks. I analyzed the top insider buys and sells from last month and published a list. I was wondering because the insider sell/buy ratio reached the lowest level since August 2010. Maybe they believe that stocks are valuated too low. However, here are my three top stocks to avoid from the insider list:
1. Plains All American Pipeline (PAA, Financial) is acting within the oil and gas pipelines industry. The company has a market capitalization of $8.9 billion, generates revenues in an amount of $30.2 billion and a net income of $431.0 million. It follows Price/Earnings ratio is 20.0, Price/Sales 0.3 and Price/Book ratio 1.7. The stock was sold in an amount of $444.8 million.
2. Wesco Aircraft Holdings (WAIR, Financial) is acting within the industrial equipment wholesale industry. The company has a market capitalization of $1.0 billion, generates revenues in an amount of $703.6 million and a net income of $77.6 million. It follows Price/Earnings ratio is 13.6, Price/Sales 1.5 and Price/Book ratio 1.7. The stock was sold in an amount of $286.9 million.
3. MGM Resorts International (MGM, Financial) is acting within the resorts and casinos industry. The company has a market capitalization of $5.5 billion, generates revenues in an amount of $6.3 billion and a net income of $2.9 billion. It follows Price/Earnings ratio is 2.3, Price/Sales 0.9 and Price/Book ratio 0.89. The stock was sold by insiders in an amount of $214.9 million.
Take a closer look at the full list of insider buys and sells from last month. The sell/buy ratio amounts to 2.01.
1. Plains All American Pipeline (PAA, Financial) is acting within the oil and gas pipelines industry. The company has a market capitalization of $8.9 billion, generates revenues in an amount of $30.2 billion and a net income of $431.0 million. It follows Price/Earnings ratio is 20.0, Price/Sales 0.3 and Price/Book ratio 1.7. The stock was sold in an amount of $444.8 million.
2. Wesco Aircraft Holdings (WAIR, Financial) is acting within the industrial equipment wholesale industry. The company has a market capitalization of $1.0 billion, generates revenues in an amount of $703.6 million and a net income of $77.6 million. It follows Price/Earnings ratio is 13.6, Price/Sales 1.5 and Price/Book ratio 1.7. The stock was sold in an amount of $286.9 million.
3. MGM Resorts International (MGM, Financial) is acting within the resorts and casinos industry. The company has a market capitalization of $5.5 billion, generates revenues in an amount of $6.3 billion and a net income of $2.9 billion. It follows Price/Earnings ratio is 2.3, Price/Sales 0.9 and Price/Book ratio 0.89. The stock was sold by insiders in an amount of $214.9 million.
Take a closer look at the full list of insider buys and sells from last month. The sell/buy ratio amounts to 2.01.
