In Insider Trading, Bain Capital Director Sells Major Stake in FleetCor Tech, While NVR and US Steel See Purchases

By Josh Wolonick  MAY 10, 2013 11:20 AM

Plus, there was a purchase at coal company Walter Energy.

 


Welcome to our daily roundup of top insider trades. Here's a look at the most significant inside sales and purchases filed with the SEC on Thursday, May 9, 2013.

Purchases: Michael Tokarz, a Director of metallurgical coal producer and exporter Walter Energy (NYSE:WLT), bought 25,000 shares of company stock for $443,750. The company's products serve the global steel industry, and Walter Energy also produces steam coal, coal bed methane gas (a.k.a. natural gas), metallurgical coke, and other coal-related products. On May 2 the company announced earnings for Q1 2013, reporting a loss of $0.64 per share on revenue of $491.3 million, down from positive earnings of $0.78 per share on revenue of $631.6 million for Q1 2012. That being said, the consensus estimate for quarterly loss was $0.88 per share. The company' stock price is down 47.21% year-to-date, and it is down 69.28% since this time last year.

Thomas Eckert, a Director of home building company NVR, Inc. (NYSE:NVR), bought 300 shares of company stock for $300,009. The company specializes in the construction of single-family homes, condominium buildings, and townhouses; it also operates a mortgage banking and title service business. On April 22, the company announced earnings for Q1 2013, reporting net income of $6.84 per share, up 75% from Q1 2012, on revenue of $770,256,000, up 28% from the year-before quarter. The stock's price is up 9.31% YTD and 26.98% since this time last year. 

Murry Gerber, a Director of United States Steel Corporation (NYSE:X), bought 12,925 shares of company stock for $239,094. US Steel produces and sells steel mill products, including flat-rolled and tubular steel products, in North America and Europe. On April 30, the company reported Q1 2013 earnings, with a loss of $0.16 per share, beating the consensus estimate of a $0.19 loss, on revenue of $4.6 billion, missing the $4.66 billion estimate. The numbers did come in over Q1 2012's loss per share of $1.52. Just two days before the earnings report, the company locked out 1,000 employees at its Lake Erie plant in Nanticoke, Ontario. The workers had voted to reject the company's final contract offer in wage negotiations that would freeze wages, eliminate cost-of-living increases, and cut prescription drug payments and vacations, among other benefits. The Nanticoke plant produces about of 10% of the company's entire output. The company's stock price is down 20.04% YTD, and it is down 26.23% since this time last year.

Sales: Andrew Balson, a Director of workforce payments products company FleetCor Technologies, Inc. (NYSE:FLT), sold 1,595,986 shares of company stock for $129,274,864. The company provides fuel cards and other employee payment products to businesses, commercial fleets, oil companies, petroleum marketers, and government entities in North America, South America, and Europe; these work as charge cards and can be used by workers to purchase food, lodging, fuel, and other goods. Balson is also a Managing Director at Bain Capital Partners, LLC., as well as a Director of Dunkin Brands Group (NASDAQ:DNKN), Domino's Pizza (NYSE:DPZ), and Bloomin' Brands (NASDAQ:BLMN), the company behind Outback Steakhouse and Bonefish Grill, among other restaurants. FleetCor reported strong earnings on May 6, with earnings per share of $.90, up 50% from Q1 2012, and revenue of $179.8 million, up 32% from Q1 2012. The stock's price is up 51.18% YTD, and it is up 105.19% since this time last year.

Insider Purchases
#: Filer Name Insider Titles Company Name Ticker Trans
Type
Dollar Value
1
DIR
B
$1,986,410
2
DIR
B
$464,059
3
DIR
B
$443,750
4
DIR
B
$300,009
5
CEO,CB,BO
B
$281,030
6
O
B
$249,677
7
DIR
X
B
$239,094
8
CB,CEO,BO
B
$163,143
9
DIR,BO
B
$157,348
10
DIR
B
$157,048

Insider Sales
#: Filer Name Insider Titles Company Name Ticker Trans
Type
Dollar Value
1
DIR
JS*
$129,274,864
2
F,DIR,BO
AS
$71,423,288
3
BO
S
$23,788,198
4
DIR,BO
AS
$14,963,006
5
CB,CEO,DIR
S
$7,500,000
6
CEO,DIR
AS
$6,643,652
7
DIR
S
$5,052,590
8
CFO
S
$3,745,000
9
CB,DIR
S
$3,111,268
10
DIR,BO
S
$2,424,150

Source: InsiderInsights.com | Key to Insider Title and Trans Type Codes

An important note from Jonathan Moreland, founder of Insider Insights:

In a victory for common sense, it has been proven profitable -- by both academic studies and (more importantly) the experience of your fellow professional investors -- to monitor the trading behavior of company executives, directors, and large shareholders in the stocks of firms of which they're registered as "insiders."

Please note, however, that the lists above are strictly factual; they are not buy and sell recommendations. Dollar value is only one metric to assess the importance of an insider transaction, and, frankly, often not even the most important metric that determines if an insider transaction is significant.

At InsiderInsights.com, we find new investment ideas just about every day using these and more intricate insider screens to determine where we should focus our subsequent fundamental and technical analysis. And while stocks don't (or shouldn't) move up or down based on insider activity alone, insiders tend to be good indicators of when real stock-moving events like earnings surprises, corporate actions, and new products may be in the offing.

Jonathan Moreland is also the author of "Profit From Legal Insider Trading."

Follow me on Twitter: @JoshWolonick and @Minyanville
No positions in stocks mentioned.