In the past week, we have seen an increase in clustered insider transactions. An insider cluster occurs when two or more corporate executives or directors make transactions into their own companies.
It is interesting and important to look at insider activities because insiders tend to be contrarian investors, meaning they tend to sell more when the market is high and buy more with the market is low. Also, insiders have shown to be keen investors in their company by making notable transactions over six months before a swing in the market.
To see more of why we think insider clusters are important, click here.
Financial Industry
The financial industry proved to be the most interesting industry this past week by reporting more insider buys than sells this week. In the past three months the finance sector of the market has seen a 6.32% increase. This increase has come from the stabilizing of the American economic system as well as a pull away from gold and a turn towards the banking industry.
Some Notable Buys in the Banking Industry:
1. First Security Group (FSGI)
First Security Group reported 11 insiders making buys into the company. This comes after the company finalized a recapitalization project they were working on.
These 11 insiders bought a total of 557,908 shares at $1.50 each. Since these buys the price change for the company has increased 66.7%.
Guru Michael Price bought 6,080,000 on April 11 as a part of this recapitalization.
First Security currently trades at $2.50.
2. Bank of South Carolina Corporation (BKSC)
Bank of South Carolina reported four insider buys on April 11. These corporate executives added a total of 4,756 shares at an average cost of $12.41 per share. These transactions cost a total of $59,022.
These buys came as the price of the company is close to a five-year high of $13.18.
Since these transactions the price has increased 1.21%. Bank of South Carolina trades at $12.99.
3. Cortland Bancorp (CLDB)
Cortland Bancorp also reported four insider buys. These buys came on April 9 from four different directors.
These insider buys come as the price of the company has exceeded its previous five-year high.
With its shares down 2.86% today, Cortland trades at $10.20.
Technology Industry
The technology industry saw the biggest difference in the insider buy to sell ratio. This past week the technology industry saw 18 different companies making cluster sells and no companies making insider buys.
In the past three months the overall technology sector has seen a 1.05% decline in price.
Some Notable Sells in the Technology Sector:
1. Facebook (FB)
This week Facebook reported three significant insider sells coming from corporate executives.
These sells came on April 10 and 11. The executives sold a total of 98,670 shares at an average cost of $27.18. These three insiders made a cumulative total of $2,690,022 in these transactions.
There are 15 gurus that hold a stake in Facebook. To see these gurus and the shares they hold, click here.
With its shares up 1.99%, Facebook trades at $27.05.
2. Verint Systems (VRNT)
Verint Systems reported six insider sells coming from five different insiders last week. These insiders sold a total of 43,716 shares at an average price of $34.62. These insiders brought in a cumulative total of $1,513,766 in these transactions.
Verint reported these buys as the price is close to a one-year high of $36.55. The P/S Ratio is also nearing a one-year high of 1.73.
Meridian Funds holds 422,600 shares of Verint Systems.
With its shares up 2.34%, Verint Systems trades at $34.31.
3. VOXX International Corp (VOXX)
VOXX International reported seven insider sells occurring on April 12. These seven corporate executives sold a total 42,892 shares of VOXX at an average price of $10.51. These transactions brought in $451,048 for the corporate executives.
As shown above, the corporate executives have proven to be strong investors in their company. The graph above shows an increase in insider selling as the price increases and peaks.
There are five gurus that hold a stake in VOXX. To see these gurus and the shares they hold, click here.
With its shares up 0.39%, VOXX International trades at $10.32.
Consumer Cyclical Industry
The consumer cyclical industry also demonstrated a high difference in the buy-to-sell ratio. Insiders in this industry reported insider selling clusters for 15 different companies and insider cluster buys for only one company.
The consumer cyclical industry includes stocks that rely primarily on the business cycle and economic conditions. Some of these companies include automotive, housing, entertainment and retail businesses. In the past year the consumer cyclical industry has seen a 23.80% increase.
Some Notable Transactions in the Consumer Cyclical Industry:
1. Trans World Corporation (TWOC)
Trans World was the only company reporting an insider cluster buy for the consumer cyclical industry. Two 10% owners of the company added a total of 301,821 shares at an average price of $2.54.
These two owners of Trans World nabbed the stock as it is nearing a 52-week low price of $2.21.
Trans World Corporation currently trades at $2.33.
2. Gap Inc. (GPS)
The Gap reported three large insider sells coming from corporate executives.
Chairman and CEO Glenn Murphy made two different transactions, selling a total of 500,000 shares of the company stock at an average price of $37.5. These two transactions brought in a total of $18,755,000.
CIO John Keiser sold 49,796 shares of Gap stock at $37.90 per share. This brought in a total of $1,887,268 for Keiser.
The price of The Gap is nearing a 10-year high of $38.18.
Thirteen gurus currently hold shares of GPS. To view these gurus and the stake they hold, click here.
With its shares up 1.98%, The Gap trades at $37.66.
3. Signet Jewelers (SIG)
Signet Jewelers reported nine insider sells this past week. These insiders sold a total of 152,750 shares at an average price of $67.86.
These insiders really raked in the money as the price of Signet is currently sitting at a 10-year high. Also, as the graph above shows, the insiders at Signet only sell as the price of the company increases.
Seven gurus currently hold a stake in Signet Jewelers. To see the complete list of these gurus and the shares they hold, click here.
With its shares up 2.03%, Signet Jewelers trades at $66.94.
To view the complete list of insider transactions occurring this past week in any sector, click here.
It is interesting and important to look at insider activities because insiders tend to be contrarian investors, meaning they tend to sell more when the market is high and buy more with the market is low. Also, insiders have shown to be keen investors in their company by making notable transactions over six months before a swing in the market.
To see more of why we think insider clusters are important, click here.
Financial Industry
The financial industry proved to be the most interesting industry this past week by reporting more insider buys than sells this week. In the past three months the finance sector of the market has seen a 6.32% increase. This increase has come from the stabilizing of the American economic system as well as a pull away from gold and a turn towards the banking industry.
Some Notable Buys in the Banking Industry:
1. First Security Group (FSGI)
First Security Group reported 11 insiders making buys into the company. This comes after the company finalized a recapitalization project they were working on.
These 11 insiders bought a total of 557,908 shares at $1.50 each. Since these buys the price change for the company has increased 66.7%.
Guru Michael Price bought 6,080,000 on April 11 as a part of this recapitalization.
First Security currently trades at $2.50.
2. Bank of South Carolina Corporation (BKSC)
Bank of South Carolina reported four insider buys on April 11. These corporate executives added a total of 4,756 shares at an average cost of $12.41 per share. These transactions cost a total of $59,022.
These buys came as the price of the company is close to a five-year high of $13.18.
Since these transactions the price has increased 1.21%. Bank of South Carolina trades at $12.99.
3. Cortland Bancorp (CLDB)
Cortland Bancorp also reported four insider buys. These buys came on April 9 from four different directors.
These insider buys come as the price of the company has exceeded its previous five-year high.
With its shares down 2.86% today, Cortland trades at $10.20.
Technology Industry
The technology industry saw the biggest difference in the insider buy to sell ratio. This past week the technology industry saw 18 different companies making cluster sells and no companies making insider buys.
In the past three months the overall technology sector has seen a 1.05% decline in price.
Some Notable Sells in the Technology Sector:
1. Facebook (FB)
This week Facebook reported three significant insider sells coming from corporate executives.
These sells came on April 10 and 11. The executives sold a total of 98,670 shares at an average cost of $27.18. These three insiders made a cumulative total of $2,690,022 in these transactions.
There are 15 gurus that hold a stake in Facebook. To see these gurus and the shares they hold, click here.
With its shares up 1.99%, Facebook trades at $27.05.
2. Verint Systems (VRNT)
Verint Systems reported six insider sells coming from five different insiders last week. These insiders sold a total of 43,716 shares at an average price of $34.62. These insiders brought in a cumulative total of $1,513,766 in these transactions.
Verint reported these buys as the price is close to a one-year high of $36.55. The P/S Ratio is also nearing a one-year high of 1.73.
Meridian Funds holds 422,600 shares of Verint Systems.
With its shares up 2.34%, Verint Systems trades at $34.31.
3. VOXX International Corp (VOXX)
VOXX International reported seven insider sells occurring on April 12. These seven corporate executives sold a total 42,892 shares of VOXX at an average price of $10.51. These transactions brought in $451,048 for the corporate executives.
As shown above, the corporate executives have proven to be strong investors in their company. The graph above shows an increase in insider selling as the price increases and peaks.
There are five gurus that hold a stake in VOXX. To see these gurus and the shares they hold, click here.
With its shares up 0.39%, VOXX International trades at $10.32.
Consumer Cyclical Industry
The consumer cyclical industry also demonstrated a high difference in the buy-to-sell ratio. Insiders in this industry reported insider selling clusters for 15 different companies and insider cluster buys for only one company.
The consumer cyclical industry includes stocks that rely primarily on the business cycle and economic conditions. Some of these companies include automotive, housing, entertainment and retail businesses. In the past year the consumer cyclical industry has seen a 23.80% increase.
Some Notable Transactions in the Consumer Cyclical Industry:
1. Trans World Corporation (TWOC)
Trans World was the only company reporting an insider cluster buy for the consumer cyclical industry. Two 10% owners of the company added a total of 301,821 shares at an average price of $2.54.
These two owners of Trans World nabbed the stock as it is nearing a 52-week low price of $2.21.
Trans World Corporation currently trades at $2.33.
2. Gap Inc. (GPS)
The Gap reported three large insider sells coming from corporate executives.
Chairman and CEO Glenn Murphy made two different transactions, selling a total of 500,000 shares of the company stock at an average price of $37.5. These two transactions brought in a total of $18,755,000.
CIO John Keiser sold 49,796 shares of Gap stock at $37.90 per share. This brought in a total of $1,887,268 for Keiser.
The price of The Gap is nearing a 10-year high of $38.18.
Thirteen gurus currently hold shares of GPS. To view these gurus and the stake they hold, click here.
With its shares up 1.98%, The Gap trades at $37.66.
3. Signet Jewelers (SIG)
Signet Jewelers reported nine insider sells this past week. These insiders sold a total of 152,750 shares at an average price of $67.86.
These insiders really raked in the money as the price of Signet is currently sitting at a 10-year high. Also, as the graph above shows, the insiders at Signet only sell as the price of the company increases.
Seven gurus currently hold a stake in Signet Jewelers. To see the complete list of these gurus and the shares they hold, click here.
With its shares up 2.03%, Signet Jewelers trades at $66.94.
To view the complete list of insider transactions occurring this past week in any sector, click here.
