Over the past week we've seen several large insider buys as well as
several coming from the companies' CEOs. It is interesting to note
when a CEO, or even a CFO, buys because these insiders supposedly
have the most intimate knowledge of their company's workings.
The following three CEOs each come from various sectors of the
market, but they each reported insider buys with transaction
amounts valued at over $100,000 and one CEO reported an insider
sell raking in over.
Kinder Morgan (
This past week Kinder Morgan continued their trend of insider
buying as two corporate executives made buys on Feb. 24. The two
insiders added over 200,000 shares to their holdings as the share
price sits at its 52-week low.
Chairman and CEO Richard Kinder made the largest buy of the week
adding 199,165 shares to his position. The CEO bought these shares
at $32.09 per share for a total transaction amount of $6,391,205.
Since his buy the price per share has dropped a slight -0.75%.
Kinder now holds on to 243 million shares of his company's stock,
making him the largest individual shareholder of the company.
Vice President Dax Sanders added a much smaller 1,000 shares to his
stake on Feb. 24. The insider bought these at $32.35 per share for
a total transaction amount of $32,350. Since his buy the price per
share is down about -1.55%. Sanders now holds on to at least
266,499 shares of the company's stock.
Insider buying has increased for the company since the price has
dwindled down from its previous 10-year highs.
Late last year VP of HR and Administration James Street made
several buys as did Director Fayez Sarofim. To read more about
their buys, check out
Kinder Morgan's Insider Trades'
Kinder Morgan is engaged as the energy transportation and storage
companies in North America. Kinder Morgan is the largest midstream
and the third largest energy company (based on combined enterprise
value) in North America.
Kinder Morgan's historical revenue and net income:
The analysis on Kinder Morgan reports that the revenue has been in
decline over the past three years, it has issued $4.8 billion in
debt over the past three years and the dividend yield is nearing a
The company recently announced that its collaborative project with
Valero Energy (
) is now fully operational and is transporting petroleum products
from refineries in Louisiana to Mississippi.
The company recently announced its financial expectations for 2014
which reports the company's expectations to:
- Generate approximately $6.4 billion in business segment
earnings before DDA, an increase of about $750 million over the
- Distribute over $2.5 billion to its limited partners.
- Invest approximately $3.6 billion in expansions and small
- Almost $720 million of the equity required for the investment
program is expected to be funded by KMR share dividends.
Kinder Morgan has a market cap of $32.66 billion. Its shares are
currently trading at around $31.69 with a P/E ratio of 35.30, a P/S
ratio of 2.90 and a P/B ratio of 2.49. The dividend yield of Kinder
Morgan stock is 5.00%.
Over the past week three insiders mad buys into the guru-favorite
Coca-Cola. These three corporate executives made the first insider
buys for the company since March 2013.
Director Maria Lagomasino purchased 7,981 shares of Coca-Cola at
the price of $37.57 per share on Feb. 24. She spent a total of
$299,846 on this transaction, and since her buy the price per share
is up a slight 0.67%. Lagomasino now holds on to at least 23,631
shares of the company's stock.
Director Ana Botin also added some shares to her stake on Feb. 24.
The director purchased a total of 2,500 shares at $37.25 per share.
This buy cost her a total of $93,125, and since her buy the price
per share is trading up approximately 1.53%. Botin now holds on to
at least 2,500 shares of Coca-Cola's stock.
Lastly Chairman and CEO Ahmet Muhtar Kent purchased the largest
amount, adding 10,500 shares to his holdings. The CEO bought these
at the price of $37.91 per share for a total transaction amount of
$398,055. Since his buy the price per share has dropped
approximately -0.24%. Kent now holds on to at least 597,616 shares
of the company's stock.
Coca-Cola is a beverage company. It owns or license and market more
than 500 nonalcoholic beverage brands, mainly sparkling beverages
but also a variety of still beverages such as waters, enhanced
waters, juices and juice drinks, ready-to-drink teas and coffees,
and energy and sports drinks.
Coca-Cola's historical revenue and net income:
The analysis on Coca-Cola reports that the revenue has slowed over
the past year, they have issued $14.4 billion of debt over the past
three years and its P/S, P/B and P/E ratios are all trading at
The Peter Lynch Chart suggests that the company is currently
Coca-Cola has a market cap of $168.31 billion. Its shares are
currently trading at around $38.20 with a P/E ratio of 19.80, a P/S
ratio of 3.66 and a P/B ratio of 5.20. The company had an annual
average earnings growth of 9.30% over the past ten years.
GuruFocus rated Coca-Cola the business predictability rank of
EarthLink Holdings (
Last week the CEO of EarthLink Holdings, Joseph Eazor, made a buy
of 64,600 shares of his company's stock. He bought these shares at
$3.88 per share for a total transaction amount of $250,648. Since
then the price per share has dropped -0.77%.
This CEO buy comes as the company's price is sitting at its 3-year
EarthLink is an IT services, network and communications provider.
EarthLink provides customers with managed IT services including
cloud computing, data centers, virtualization, security,
applications and support services,
EarthLink's historical revenue and net income:
The analysis on EarthLink reports that the revenue has been in
decline over the past year, its dividend yield is near a 2-year
high and its price and P/S and P/B ratios are near 10-year lows.
The company recently reported its fourth quarter results which
- $301.8 million in revenues.
- Net loss of $(279.9) million, or $92.75) per share.
- Adjusted EBITDA of $50.1 million.
- Ending cash balance of $116.6 million.
There are four gurus that maintain a position in EarthLink. Check
out their holding histories here.
EarthLink has a market cap of $392.5 million. Its shares are
currently trading at around $3.85 with a P/S ratio of 0.30 and a
P/B ratio of 0.91. The dividend yield of EarthLink Holdings is at
5.20%. The company had an annual average earnings growth of 13.60%
over the past ten years.
You can view a
complete list of CEO buys and sells
About GuruFocus: GuruFocus.com tracks the stocks picks and
portfolio holdings of the world's best investors. This value
investing site offers stock screeners and valuation tools. And
publishes daily articles tracking the latest moves of the world's
best investors. GuruFocus also provides promising stock ideas in 3
monthly newsletters sent to
This article first appeared on