Edward Lampert (Trades, Portfolio), insider and 10% owner of Lands’ End (LE, Financial), purchased 412,294 shares in eight separate transactions on eight separate days, according to the Securities and Exchange Commission.
On Oct. 7, Lampert purchased 102,375 shares at a price of $15 per share. On Oct.10, Lampert continued to purchase 82,210 shares at a price of $14.92 per share. Then on Oct. 11, Lampert added an additional 59,890 shares for a price of $14.89 per share. He then purchased an additional 10,861 shares on Oct. 12 for a price of $14.89 per share.
On Oct. 13, Lampert purchased 12,560 shares for $14.90, according to a Form 4 filing with the SEC. Lampert then waited a few days and continued to purchase an additional 39,540 shares of Lands’ End on Oct. 17 for a price of $14.88 per share. Then he purchased another 82,514 shares on Oct. 18 for $14.78 per share. Finally, on Oct. 19, he added another 22,244 shares at an estimated price of $14.98 per share, according to a Form 4 filing with the SEC.
Lands’ End is a multi-channel retailer of casual clothing, accessories and footwear, as well as home products. The company offers its products through catalogs, online and at affiliated specialty and international websites, and through retail locations, primarily at Lands’ End Shops at Sears. The company currently has over 200 Lands’ End Shops at Sears across the United States.
Lands’ End has a market cap of $483.62 million, an enterprise value of $764.84 million, a price-book (P/B) ratio of 1.27 and a price-sales (P/S) ratio of 0.34.
According to GuruFocus, Lands’ End has a 4 of 10 financial strength rating with a cash to debt ratio of 0.43 and an equity to asset ratio of 0.29. Its Piotroski F-Score of 4 suggest it is in stable financial condition. The Beneish M-Score of -2.46 indicaes that the company is not a manipulator of its financial statements. The company also has a 4 of 10 profitability and growth rating with a -2.35% operating margin, a -2.66% net-margin, a ROE of -9.18%, a ROA of -2.77% and a ROC (Joel Greenblatt (Trades, Portfolio)) of -10.61%.
It is noteworthy that Fairholme Capital Management founder Bruce Berkowitz (Trades, Portfolio) added 82,100 shares of Lands’ End during the third quarter. The fact that Berkowitz owns 27,827,748 shares of Sears (SHLD, Financial), and that Lands’ End is located in over 200 Sears locations in the United States, may have influenced his decision to add to his stake in the company during the third quarter.
Below is a Peter Lynch chart that shows Lands’ End is trading below its intrinsic value.
Disclosure: Author does not own any shares of this company.
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