Big Insider Buying Seen in Sprint, Sears, Level 3, Weatherford and More
Well, the pattern that has pretty much continued over the past month, since the market had the giant sell-off in August, remained this week. Insider buying continues to swamp the insider selling, and some of the same buyers continue to show up week after week.
We cover insider buying every week at 24/7 Wall St., and we like to remind our readers that while insider buying is usually a very positive sign, it is not in itself a reason to run out and buy a stock. Sometimes insiders and 10% owners have stock purchase plans set up at intervals to add to their holdings. That aside, it still remains a positive indicator.
Here are some of the companies that reported notable insider buying this past week.
Sprint Corp. (NYSE: S) continues to see the company’s shares gobbled up by Softbank, the Japanese multinational telecommunications and Internet company. The firm bought an additional 13,334,431 shares of the carrier at prices that ranged from $4.24 to $4.66 per share. The total for the trade came to a whopping $59.1 million. Sprint shares were trading on Friday’s close at $4.30.
Lands’ End Inc. (NASDAQ: LE) had a high-profile 10% owner buying more stock this week. Edward Lampert — who is becoming a weekly member of the 24/7 Wall St. insider report — purchased 374,460 shares of the retailer at prices that ranged from $26.43 to $26.90 apiece. The total for the purchase came to an even $10 million. The shares ended trading on Friday at $26.98.
Sears Holdings Corp. (NASDAQ: SHLD) makes the report again, and so does Lampert, who is the CEO and the chairman of this iconic American retailer. He picked up 33,817 shares of the stock last week at prices that fell between $25.34 and $25.40. The total for the buy was $859,000. The stock closed trading on Friday at $24.67.
PFSweb Inc. (NASDAQ: PFSW) had a 10% owner boosting a stake this past week. G2 Investment Partners Management bought a total of 597,155 shares of the company at prices that ranged from $12.31 to $13.65. The total for the buy was a tidy $7.8 million. The company provides omni-channel commerce solutions in the United States, Canada, India and Europe. Shares ended the week at $14.24, so a well-timed trade.
Level 3 Communications Inc. (NYSE: LVLT) makes yet another showing on our screens this week. Tamasek Holding, a 10% owner, continues to buy shares of the stock, this time adding 129,640 shares of the company at $44.74 per share. The total for this trade came to a large $5.8 million. Level 3 operates as a facilities-based provider of a range of integrated communications services, primarily in North America, Latin America, Europe, the Middle East and Africa. The stock closed trading on Friday at $43.53.
These companies also reported insider buying this week: Aircastle Ltd. (NYSE: AYR), Box Inc. (NYSE: BOX), Intrepid Potash Inc. (NYSE: IPI), Mattress Firm Holding Corp. (NASDAQ: MFRM), Opko Health Inc. (NYSE: OPK) and Weatherford International PLC (NYSE: WFT).
Continued insider buying into the market volatility really can only mean one thing: the markets are headed higher. Insider buying is almost always a bullish indicator and the amount of it over the past month has been huge. That’s a very positive sign for investors.