In Insider Trading: Insiders at Emerald Oil and OPKO Health Make Buys, and Cubic Corporation Sees a Major Sale

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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 23, 2013.

Purchases: Edelman & Guill Energy LP bought 2,785,600 shares of independent oil and natural gas exploration and production company Emerald Oil (NYSEMKT:EOX) for $16,351,472. Emerald, based in Denver, Colorado, and formerly known as Voyager Oil & Gas, is focused on acquiring land in prospective natural resource plays in the US, with most of its operations in the Williston Basin of North Dakota and Montana. On May 23, the company closed an underwritten public offering of 12 million common stock shares at the price of $6.10 per share; net proceeds for the company came in at $79.7 million. The company's stock currently trades at $6.05 and is up 16.03% year-to-date and down 54.29% since this time last year.

Stanford Kurland, the Chairman and CEO of PennyMac Mortgage Investment Trust ( PMT ), bought 44,000 shares of company stock for $995,306. The company, a real estate investment trust, invests primarily in residential mortgage loans and mortgage-related assets; its main objective is to maximize the value of mortgage loans it acquires, which are predominantly distressed and acquired at discount. The Professional Risk Managers' International Association (PRMIA) and Fair Isaac Co (FICO) put out a quarterly survey of risk managers to aggregate their views on the state of credit risk over the next six months, and today they released their first report of 2013, with the vast majority of risk managers, 83.7%, believing delinquencies will either stay the same or decrease. REITs that are not supported by the government, like PennyMac and peers Two Harbors ( TWO ) and Redwood Trust ( RWT ), have benefited from less delinquencies because they can take on credit risk, which is high risk and high reward. Agency-REITs like American Capital ( AGNC ) and Capstead ( CMO ) cannot take on credit risk. PennyMac's stock price is down 9.21% YTD but up 26.29% since this time last year.

Phillip Frost, the CEO and Chairman of multi-national pharmaceutical and diagnostics company OPKO Health (OPK), bought 42,300 shares of company stock for $290,910, increasing his total stake to 125,767,248 shares, worth $864,020,993.76 at the stock's current price of $6.87. Frost has purchased company stock almost every day for several years now, and many times, he does this in order to keep the company above water. However, OPKO does have several products in development and trials that are promising: its 4K Prostate Test, which allows doctors to sidestep the once-necessary biopsy in diagnosing prostate cancer, its Point-of-Care Card, which can take a sample of patient's blood and be inserted into a computer where the blood can be instantaneously analyzed, and two drugs that treat Vitamin D deficiency in patients with chronic kidney disease (part of OPKO's acquisition of Cytochroma earlier this year). Moreover, OPKO's acquisition of PROLOR Biotech (NYSEMKT:PBTH) adds potential in the markets for human growth hormone products, clotting products, and diabetes treatment. OPKO's stock price is up 43.04% YTD and up 43.33% since this time last year.

Sales: The Zable Non Qtip Marital Trust sold 2,315,000 shares of Cubic Corporation (CUB) for $105,911,248. The Cubic Corporation provides systems and solutions to its clients in the mass transit and global defense markets. In January of this year, Cubic acquired the bus schedule app company NextBus. On May 20, the company announced it has been awarded a $21 million foreign military sales contract from the US Army. The contract is for the company's Engagement Skills Trainer 2000, a virtual small arms training system that uses high-definition screens, digital projectors, game-based computer graphics, and ballistically accurate weapons for marksmanship and escalation of force training. Over the last month, the company's stock price has increased 11.92% after strong earnings for Q1 2013. The stock's price is down 0.56% YTD and up 8.29% since this time last year.

Insider Purchases
#: Filer Name Insider Titles Company Name Ticker Trans
Type
Dollar Value

1

Clinton

BO


Everyware Global

ROIQ

JB*

$16,551,250

2

Edelman & Guill

BO

Emerald Oil

EOX

JB*

$16,351,472

3

Harbinger

BO

Spectrum Brands

SPB

B

$3,679,558

4

Kurland Stanford L

CB,CEO,DIR

Pennymac

PMT

B,JB*

$995,306

5

Reynolds Barry D

DIR

ServiceSource Intl

SREV

B

$783,150

6

Frost Phillip Md

CEO,CB,BO

Opko Health

OPK

B

$290,910

7

Denuccio Kevin A

DIR

Calix

CALX

B

$141,450

8

Wilson C Richard

DIR

MPLX

MPLX

B

$115,365

9

Mario Ernest

DIR

Xenoport

XNPT

B

$109,800

10

Van Vlack JP

PR,DIR

Home Loan Svc

HLSS

B

$104,111


Insider Sales
#: Filer Name Insider Titles Company Name Ticker Trans
Type
Dollar Value

1

Zable Non Qtip

BO

Cubic

CUB

JS*

$105,911,248

2

Luxor Capital

BO

William Lyon

WLH

JS*

$70,687,501

3

Av Partners VIII

BO

Homeaway

AWAY

S

$18,144,712

4

Reid Anderson J

CB,PR,CEO

Six Flags Ent

SIX

AS

$8,026,383

5

Luddy Frederic B

DIR

Servicenow

NOW

S

$4,901,228

6

Sandberg Sheryl

COO,DIR

Facebook

FB

AS

$4,489,507

7

Neupaver Albert J

CEO,CB,DIR

Westinghouse Air

WAB

S

$3,272,265

8

Farquharson Alan

VP

Range Resources

RRC

S

$2,313,024

9

Zm Eac

BO

Erickson Air Crane

EAC

S

$1,763,853

10

Waldis Stephen

CEO,CB,DIR

Synchronoss Tech

SNCR

AS

$1,730,600

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



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.




This article appears in: Investing , Stocks

Referenced Stocks: AGNC , CMO , PMT , RWT , TWO

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