One real estate investment trust has seen intensive insider buying during the last 30 days. Intensive insider buying can be defined by the following three criteria:
The stock is purchased by three or more insiders within one month.
The stock is sold by no insiders in the month of intensive purchasing.
At least two purchasers increase their holdings by more than 10%.
Owens Realty Mortgage (ORM) is a real estate investment trust that invests in commercial real estate mortgage loans primarily in the Western U.S. The company specializes in loans that require speed and flexibility. Owens Realty Mortgage is externally managed and advised by Owens Financial Group.
Insider Buying During the Last 30 Days
- Dennis Schmal purchased 2,000 shares on Aug. 20 and currently holds 2,000 shares or less than 0.1% of the company. Dennis Schmal serves as a director of the company. Dennis Schmal increased his holdings from zero shares to 2,000 shares in August.
- Melina Platt purchased 1,000 shares on Aug. 20 and currently holds 1,000 shares or less than 0.1% of the company. Melina Platt has served as the controller of Owens Financial Group since May 1998. Melina Platt increased her holdings from zero shares to 1,000 shares in August.
- Bryan Draper purchased 3,000 shares on Aug. 20 and currently holds 6,556 shares or less than 0.1% of the company. Bryan Draper has served as a director, secretary, treasurer and chief financial officer of Owens Realty Mortgage since its inception in 2012. Bryan Draper increased his holdings by 84.4% in August.
Here is a table of Owens Realty Mortgage's insider-trading activity by calendar month.
|Month||Insider buying / shares||Insider selling / shares|
There have been 7,000 shares purchased and there have been zero shares sold by insiders this year.
Owens Realty Mortgage reported the second-quarter financial results on August 14 with the following highlights:
|Net income||$6.4 million|
|Book value||$16.53 per share|
Owens Realty Mortgage announced on August 15 a stock repurchase plan to repurchase five percent of the company's outstanding shares.
Owens Realty Mortgage's competitors include American Assets Trust (NYSE:AAT), Alexandria Real Estate Equities (NYSE:ARE) and Boston Properties (NYSE:BXP). American Assets Trust has seen five insider buy transactions and four insider sell transactions this year. American Assets Trust has a dividend yield of 2.78%. Alexandria Real Estate Equities has seen 14 insider sell transactions this year. Alexandria Real Estate Equities has a dividend yield of 4.10%. Boston Properties has seen one insider buy transaction and four insider sell transactions this year. Boston Properties has a dividend yield of 2.43%.
There have been three different insiders buying Owens Realty Mortgage and there have not been any insiders selling Owens Realty Mortgage during the last 30 days. All three of these insiders increased their holdings by more than 10%.
Owens Realty Mortgage has a book value of $16.53 per share and the stock has a dividend yield of 1.53%. I believe the stock could be a good pick below the book value of $16.53 per share.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.