Top Five Insider Buys of the Week

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Sep 13, 2013
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According to the GuruFocus All-in-One Screener the following five companies reported the largest insider buys last week. These are the largest insider buys in terms of transaction amount, level of insider making buys and number of insiders buying.

Each of the following five companies involve transactions valued at over $100,000 and have multiple insiders making buys.

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Kinder Morgan (KMI)

On Sept. 9, Chairman and CEO Richard Kinder made a large buy of his company’s stock. The CEO purchased a total of 500,000 shares at an average price of $35.74 per share. This cost Kinder a total of $17.87 million.

Since his buy, the price per share has decreased a slight -0.34%. Richard Kinder now holds over 241.87 million shares of his company’s stock. Kinder is the largest shareholder of Kinder Morgan stock. About 35% of the company is owned by insiders of KMI.

Vice President of Human Resources and Administration James Street also made a buy this week; he added 2,750 shares to his stake at an average price of $35.73 per share. The price per share has since increased about 0.78%.

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These buys come as the price per share has come down from the high it hit in May.

It is engaged as the energy transportation and storage companies in North America. Kinder Morgan is the largest midstream and the third largest energy company (based on combined enterprise value) in North America.

Kinder Morgan’s historical revenue and net income:

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The analysis on Kinder Morgan reports that the revenue has been in decline over the past three years, it has issued $4.8 billion in debt over the past three years and the dividend yield is nearing a three-year high.

The company recently announced that its collaborative project with Valero Energy (VLO) is now fully operational and is transporting petroleum products from refineries in Louisiana to Mississippi.

Kinder Morgan has a market cap of $37.14 billion. Its shares are currently trading at around $35.85 with a P/E ratio of 56.40, a P/S ratio of 5.10 and a P/B ratio of 2.70. The dividend yield of Kinder Morgan stock is 4.20%.

Inergy Midstream (NRGM)

The second largest insider buy came from president of Inergy Services, William Gautreaux. The president bought 20,000 shares at an average price of $22.50 per share. This transaction cost him a total of $450,000. Since his buy, the price per share has dropped 2.8%. Gautreaux now holds on to at least 120,733 shares of company stock.

Director and 10% Owner John Sherman also made an increase, buying 10,000 shares at an average price of $21.81 per share. He holds over 360,000 shares of company stock.

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Inergy Midstream owns, operates, develops and acquires midstream energy assets. Its current asset base consists of natural gas and NGL storage and transportation assets located in the Northeast region of the U.S.

Inergy Midstream’s historical revenue and net income:

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The analysis on Inergy Midstream reports that the company’s revenue has been in decline for the past three years, the company’s dividend yield is at a two-year high, its price is at a two-year high and the company has also issued $475.4 million of debt over the past three years.

Inergy Midstream has a market cap of $1.88 billion. Its shares are currently trading at around $21.86 with a P/E ratio of 120.40, a P/S ratio of 7.70 and a P/B ratio of 2.70. The company currently offers a dividend yield of 7.20%.

Matador Resources (MTDR)

Matador Resources recently closed a public offering of 9.775 million shares of its common stock for $15.25 per share. At this point six different insiders made buys into the company’s stock. The insiders include: Chairman, CEO and President Joseph Foran, EVP of Land and Legal Craig Adams, EVP of Operations Matthew Hairford, CFO and COO David Lancaster, Executive Director of Exploration David Nicklin and Director Carlos Sepulveda.

These insiders bought a total of 23,100 shares. This cost the insiders a combined total of $352,275. Since their purchases, the price per share has increased 9.51%.

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Matador is an independent energy company engaged in the exploration, development, production and acquisition of oil and natural gas resources in the U.S., with an emphasis on oil and natural gas shale and other unconventional plays.

Matador’s historical revenue and net income:

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The analysis on Matador reports that the company’s revenue has been in decline over the past three years, the P/E ratio is at a one-year high and the company has issued $245 million of debt in the past three years.

Matador Resources has a market cap of $1.12 billion. Its shares are currently trading at around $17.08 with a P/E ratio of 46.80 and a P/S ratio of 4.70.

Boise Cascade (BCC)

Two insiders made notable buys into Boise Cascade over the past seven days.

Director Richard Fleming added 5,000 shares to holdings on Sept. 6. The director bought these shares at $22.90 per share for a total transaction amount of $114,500. Since his buy the price per share has increased a notable 11.88%. Fleming now holds on to 7,023 shares of company stock.

Senior VP, CFO and Treasurer Wayne Rancourt purchased 4,000 shares at $23 per share. This cost the CFO a total of $92,000. Since his buy the price per share has jumped 11.39%. Rancourt now holds on at least 4,000 shares of company stock.

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These buys come as the price has hit a one-year low.

Boise Cascade is a vertically-integrated wood products manufacturer and building materials distributor with widespread operations throughout the U.S. and Canada.

Boise Cascade’s historical revenue and net income:

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The analysis on Boise Cascade reports that the company’s revenue has been in decline over the past three years, the price is at a one-year low and the P/B, P/S and P/E ratios are all at 1-year lows.

Boise Cascade has a market cap of $1.01 billion. Its shares are currently trading at around $25.62 with a P/E ratio of 7.70, a P/S ratio of 0.30 and a P/B ratio of 2.20.

Blyth (BTH)

Two insiders made large buys in to Blyth over the past week.

Both Director Pamela Goergen and Chairman of the Board and CEO Robert Goergen bought 10,000 shares at $10.57 per share. This cost each of them a total of $105,700. Since their buys the price per share has increased 8.8%.

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These buys come as the company’s price has hit a 10-year low.

Blyth designs and markets home fragrance products and decorative accessories, as well as weight management products, nutritional supplements and energy drinks.

Blyth’s historical revenue and net income:

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The analysis on the company reports that the revenue has been in decline for the past three years, the operating margin is expanding and that the P/E ratio is at a three-year high.

Blyth has a market cap of $199.7 million. Its shares are currently trading at around $12.45 with a P/E ratio of 95.50, a P/S ratio of 0.20 and a P/B ratio of 4.10. The company had an annual average earnings growth of 4.4% over the past five years.

You can view three years of historical data on insider buys and sells here.

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