Philip Morris and Three Others Report This Week's Largest Insider Buys
Philip Morris International (PM)
During the past week two directors made buys into Philip Morris. These buys came from Sergio Marchionne and Robert Polet.
Marchionne bought 1,000 shares valued at $89.07 per share. This cost the director a total of $89,070. Since his buy, the price per share has dropped approximately 0.21%. Marchionne currently holds at least 49,687 shares of Philip Morris International.
Robert Polet made a much smaller transaction, adding a total of 52 shares to his holdings. Polet bought these shares at $89.20 per share for a transaction amount of $4,639. Since his buy, the share price has decreased approximately 0.36%. The director now holds on to a total of 6,304 shares.
Philip Morris International is the leading international tobacco company, with seven of the world’s top 15 international brands, including Marlboro, the number one cigarette brand worldwide. PMI’s products are sold in more than 180 markets.
In 2012, the company held an estimated 16.3% share of the total international cigarette market outside of the U.S., or 28.8% excluding China.
Philip Morris’ historical price, revenue and net income:
The company’s second quarter financial statement reports:
· Diluted EPS of $1.30, down 4.4% from the same quarter 2012.
· Cigarette shipment volume of 228.9 billion units, down by 3.9%
· Net revenues of $7.9 billion, down by 2.5%.
· Repurchased 16.7 million shares of the company’s common stock for $1.5 billion.
According to the Peter Lynch Chart, Philip Morris appears to be overvalued:
Philip Morris has a strong history of increasing their dividends. The company’s dividend yield is currently at 3.80% and has seen a 18.7% growth rate over the past five years. You can view more dividend data on Philip Morris by checking out the new GuruFocus Dividend page.
Philip Morris has a market cap of $144.26 billion. Its shares are currently being traded at around $88.88 with a P/E ratio of 16.90 and a P/S ratio of 1.90. The company had an annual average earnings growth of 14.5% over the past 5 years.
There are currently 28 gurus that hold stake in Philip Morris. Click here to view their holding histories.
NRG Yield (NYLD)
NRG Yield reported significant insider buys this week as the company completed their initial public offering of 19,575,000 shares of common stock at a price of $22.00 per share.
Eight insiders made buys during the IPO including EVP and CFO Kirkland Andrews, Director Christopher Sotos, EVP and COO Mauricio Gutierrez, Director Ferrell McClean, Director Brian Ford, Director John Chlebowski, EVP and General Counsel David Hill and President, CEO and Chairman David Crane.
CEO David Crane made the largest buy, adding a total of 26,750 shares, costing him a total of $588,500. These eight insiders purchased a combined total of 54,250 shares which cost them a cumulative total of $1,193,500.
Since the company’s IPO, the share price is trading up 32.5%.
NRG Yield owns a portfolio of contracted renewable and conventional generation and thermal infrastructure assets in the U.S. Its contracted generation portfolio includes three natural gas or multi-fuel facilities, eight utility-scale solar and wind generation facilities and two portfolios of distributed solar facilities.
NRG Yield received approximately $468 million from the public offering. The company intends to use the net proceeds to purchase a portion of the equity interests in NRG Yield LLC, which holds the NRG Yield assets, from NRG Energy Inc.
NRG Yield’s historical revenue and net income:
NRG Yield has a market cap of $1.87 billion. Its shares are currently trading at around $28.99 with a P/S ratio of 10.20.
There are currently no gurus that hold a stake in NYLD
Synovus Financial (SNV)
On July22, Synovus had a public offering of 59,870,550 million shares. During this offering seven insiders made significant increases to their positions in Synovus.
The seven insiders included Chairman, CEO and President Kessel Stelling, Stephen Butler, Neal Purcell, Mark Holladay, Catherine Allen, Michael Goodrich and Joseph Prochaska.
These insiders bought a total of 227,600 shares during the span of the public offering. These buys cost them a combined $703,284.
Since this group buy, the price per share has increased approximately 5.83%.
Synovus is a financial services holding company with approximately $27 billion in assets. Synovus provides commercial and retail banking, investment and mortgage services to customers in Georgia, Alabama, South Carolina, Florida and Tennessee.
Synovus’ historical price, revenue and net income:
The Peter Lynch Chart shows that Synovus Financial appears to be undervalued:
The company recently released its second quarter results which reported:
· Income increased to $72.9 million, up 56.6% from the first quarter 2013.
· Net income of $30.7 million, compared to $14.8 million for the first quarter.
· Diluted EPS was $0.03, compared to $0.02 during the first quarter.
· Credit costs declined to $24.0 million, compared to $49.3 million during the first quarter.
Synovus Financial has a market cap of $2.61 billion. Its shares are currently trading at $3.27 with a P/E ratio of 3.50, a P/S ratio of 2.70 and a P/B ratio of 1.00. The dividend yield for Synovus is 1.20%.
There are currently seven gurus that maintain a position in Synovus. Click here to see their holding histories.
Safeway Inc. (SWY)
This past week Director Frank Herringer and Senior VP David Bond made notable buys into Safeway. These buys come as the price is inching closer to a 5-year high of $27.93.
Director Herringer purchased 18,000 shares on July 25. Herringer purchased these shares at an average price of $25.64 per share, costing him a total of $461,520. Since his buy, the price per share has increased approximately 1.33%. Herringer now owns at least 23,000 shares of company stock.
David Bond purchased 5,000 shares of company stock on July 22. He bought these shares at an average price of $26.10 per share. This transaction cost the VP a total of $130,500. Since his buy, the share price has decreased approximately 0.46%. Bond now owns at least 36,214 shares of Safeway stock.
Safeway is one of the largest food and drug retailers in North America based on sales. The company operates 1,412 stores in the U.S.
Safeway’s historical price, revenue and net income:
The Peter Lynch Chart shows that Safeway appears to be undervalued:
The recently released second quarter financial results report:
· The company entered into an agreement with Sobeys to sell its Canadian operations.
· Net income of $125.1 million, or $0.51 per diluted share, compared to a net income of $122.7 million during the second quarter 2012.
· Sales and other revenue declined 1.6% to $8.7 billion.
In regards to the sale of their Canadian operations, Safeway will sell this branch for C$5.8 billion to Sobeys. This transaction is expected to close in the fourth quarter of 2013.
Safeway has a market cap of $6.24 billion. Its shares are currently traded at around $25.98 with a P/E ratio of 10.20, a P/S ratio of 0.10 and a P/B ratio of 2.00. The company had an annual average earnings growth of 5.3% over the past ten years.
GuruFocus rated Safeway the business predictability rank of 2-star.
There are currently ten gurus that hold a position in SWY. Click here to see their holding histories.
You can view all insider transactions on GuruFocus’ Insider Trades page.
If you are not a Premium Member, we invite you to try a free 7-day trial here.