Happy New Year and welcome to edition 237 of Insider Weekends. Insider buying declined last week with insiders buying $18.4 million of stock compared to $83.07 million in the week prior. Selling also declined sharply with insiders selling $258.37 million of stock last week compared to $628.05 million in the week prior.
Sell/Buy Ratio: The insider Sell/Buy ratio is calculated by dividing the total insider sales in a given week by total insider purchases that week. The adjusted ratio for last week went up to 14.04. In other words, insiders sold more than 14 times as much stock as they purchased. The Sell/Buy ratio this week compares unfavorably with the prior week, when the ratio stood at 7.56. We are calculating an adjusted ratio by removing transactions by funds and companies and trying as best as possible only to retain information about insiders and 10% owners who are not funds or companies.
Insider Sell Buy Ratio January 2, 2015
Note: As mentioned in the first post in this series, certain industries have their preferred metrics such as same store sales for retailers, funds from operations (FFO) for REITs and revenue per available room (RevPAR) for hotels that provide a better basis for comparison than simple valuation metrics. However metrics like Price/Earnings, Price/Sales and Enterprise Value/EBITDA included below should provide a good starting point for analyzing the majority of stocks.
Notable Insider Buys:
1. Biglari Holdings Inc. (BH): $403.01
Chairman and CEO Sardar Biglari, acquired 13,348 shares of this restaurant holding company, paying $388.23 per share for a total amount of $5.18 million. These shares were acquired indirectly through The Lion Fund.
This is the second week in a row we are reporting on insider purchases by Mr. Biglari.
You can view the list of recent insider transactions for Biglari Holdings Inc. here.
2. OCI Partners LP (OCIP): $15.79
