On Oct 27 it was reported that Doug Pertz (CEO) bought $99,840 of BCO stock while Domanico Jame (CFO) purchased $232,473.
Today, Nov 7, they have both come back for more. Pertz bought $500,503 while Jame bought $230,550.
I don’t put much weight on insider trading. But these purchases tell me that the top executives of BCO feel the stock is undervalued at present. How much? I don’t know. My analysis lead me to believe the stock is significantly undervalued. This is appears to be confirmation by the two guys who know the company and its trajectory better than anyone else.
I wouldn’t get too excited. As I read it, since June:
James Domanico bought all of 3,000 shares, which increased his stake by 9%
Doug Pertz bought 7,870 shares, which increased his stake by 5%
Meanwhile a director, Peter Feld, exercised options and SOLD about 1,250,000 shares of stock.
And Marshall McAllister, a SVP and CAO sold 13,500 shares, or 17% of his position
As I said at the outset, I don’t put much weight on insider transactions.
As for the difference in the numbers, my comments were based on a note from SA. I didn’t take it any further. SA isn’t always reliable, but I thought this would be hard to screw up. Maybe I should have looked for other sources to verify.
I think pretty much the only decent sign you can get from insider trades is when a CEO and maybe CFO buys into a rising share price. I don’t know how much he earns, but spending $3.5 million this year alone to buy his own stock and increase his share count from 100,000 to 165,000 is not insignificant.
Peter Feld seems to be a lucky man. All those millions he’s making!
Everything else is noise. Sales are noise. But CEO and CFO buys are a plus. Not that it would make me want to buy BCO. But significant CEO buys would definitely garner my interest to have a closer look into a company. But how long will ATMs really last before all our transactions are done through thin air literally through our fingertips?