USCR

Another Roller Coaster Week on the Coronavirus Train- Insider Buying is Picking Up

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The headlines don’t stop. Most of them scary and getting worse by the day. That didn’t stop insiders from buying falling knives but not in the quantity I’m looking for to mark the all clear.  The pace of buying is clearly picking up, though IT SEEMS that Friday the 28th was the climax and insiders paused as the news headlines worsened about the virus.  In times of increasing investor panic, insiders will restore confidence, especially when they buy across the board. In this post, we examine insiders purchasing $200,000 of more of their company’s shares, looking for clues that may … Read more

What were insiders buying during this historic market sell-off?

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This was a week like none other- well, that’s not quite correct, a week like only 4 others in terms of market losses since 1945.  The Coronavirus put the stock market into intensive care. It remains to be seen if the general population follows it into the sick ward. The Dow  closed Friday, 357 points, or 1.4%, lower, on its seventh day in the red. At its worst, the index was down nearly 1,086 points. It dropped 3,583 points this week, including its worst one-day point drop in history on Thursday. On a percentage basis, Thursday’s 4.4% slump was the worst performance since … Read more

The Insiders Fund update and coronavirus thoughts

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Just wanted to update the partners and interested parties on recent events and market turmoil. As of yesterday the Fund was up about 2.88% for the month. These are unofficial numbers but highly reliable nonetheless. After today, I expect that gain will be gone.  The market is in the grips of a psychological panic caused by the coronavirus.  It doesn’t matter if this is justified or not, it just is. Particularly hard hit have been airlines which was our highest exposure as an industry group.  We have been reducing this exposure and as of the time of writing, we have … Read more

Notable Insider Buying Week Ending 12-20-19

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CB Duncan continues to amass sizable buys of Enterprise Products Partners, LP.  This midstream oil and gas operator  yields 6.29%. This seems like a buy in a low yield world but bear in mind, several MLPs  in this space yield double digits and have sizable insider buying as well. If you believe the combustion engine will be replaced by EVs in the next 10 years, don’t buy these MLPs. I for one don’t believe the market appreciates the complexity and cost of making lithium batteries. A director bought $1.28 million of peer Energy Transfer Partners at $12.79 per share, yielding … Read more

Notable Insider Buying Week 11-29-19

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  Shares of Karuna Therapeutics Inc. KRTX, more than tripled (up 254%) November 19th in active trading to an intraday high of $123.99 after a phase 2 trial of its schizophrenia treatment met its primary endpoint.  Karuna and its underwriters, led by Goldman Sachs et al, wasted no time rushing out a sport secondary at $96 raising $250 million. At Friday’s close of $71.88, people lost serious money in this secondary, including biotech VC and hedge fund Sofinnova Venture Partners which upped their position by$15 million.  No tears shed as they are early investors, buying $15 million on the IPO at … Read more