Over the past week there have been several insiders making buys into Fastenal Company (FAST) as the company’s price has dropped down to right above its 52-week low price of $43.99. The following three corporate executives made insider buys this week as the price dropped.
Executive VP Nicholas Lundquist added 4,000 shares over the past week at an average price of $44.79 per share. This transaction cost the VP a total of $179,160. Since his buy the price per share has slipped an additional -0.94%. Lundquist now holds on to at least 232,542 shares of the company’s stock.
Director Michael Ancius made the smallest buy, adding a much lesser amount of 485 shares. He bought these shares at an average price of $44.50 per share for a total transaction amount of $21,583. Since this buy the price per share has dropped a slight -0.29%. As of his most recent buy the insider holds on to at least 7,643 shares of the company’s stock.
Lastly President LeLand Hein added the most shares of the week, purchasing a total of 4,300 shares of Fastenal stock. The president purchased these shares at an average price of $47.38 per share costing him a total of $203,734. Since his buy the price per share has dropped -6.35%. As of his most recent buy, Hein holds on to 19,244 shares of the company’s stock.
As shown in the chart above the company is fairly consistent in their insider transactions, with increased insider buying occurring as the price has recently sunk to around its 52-week low.
Fastenal Company engages in the wholesale distribution of industrial and construction supplies. It conducts business under various trademarks and service marks, including: Fastenal, FAS-N-IT, FNL, Blackstone, Rock River, Blue Global, Fastenal Racing, FNL G9, Equiprite, Clean Choice, Bodyguard, Profitter, Dynaflo, FMT, Tritan, Caliber, PowerPhase.
Fastenal’s historical revenue and net income:
The GuruFocus analysis reports one warning sign as well as six good signs for the company which include the following:
- The company’s Piotroski F-Score is low, implying poor business operation.
- Fastenal has no debt
- It has shown predictable revenue and earnings growth
- Its operating margin is expanding.
- The dividend yield is near a 2-year high
- The P/B and P/S ratios are near 2-year lows
The Peter Lynch Chart suggests that the company is currently overvalued:
Based on GuruFocus’ most recent updated guru portfolios there are nine gurus that hold a position in Fastenal. Check out their holding histories here.
The company recently announced its foruth quarter and annual earnings which reported:
- Net sales for the year up 6.1% to $3.33 million.
- Net earnings up 6.7% to $448,636.
- EPS of $1.51 for the year, up 6.3% from $1.42 per share.
- Increased their employee count 14.1% as of Dec. 31, 2013.
Also over the past couple of weeks Fastenal declared a dividend of $0.25 per share to be paid on Feb. 28, 2014 to shareholders of the record at the close of business Jan. 31. The company began paying annual dividends in 1991, switched to semi-annual dividends in 2003, and has been paying quarterly dividends since 2011.
The company’s dividend and stock repurchase activity over the past ten years:
Fastenal has a market cap of $13.18 billion. Its shares are currently trading at around $44.42 with a P/E ratio of 29.60, a P/S ratio of 4.00 and a P/B ratio of 7.50. The dividend yield of Fastenal Company stocks is at 2.20%, and over the company has seen an annual average earnings growth of 15.30% over the past ten years.
GuruFocus rated Fastenal the business predictability rank of 3.5-star.
You can check out more information on Fastenal Company here. Also, try a free 7-day premium membership trial to see complete guru portfolios as well as to gain unlimited access to charts and screeners.