In this article, I will feature one REIT that has seen intensive insider buying during the last 30 days. Intensive insider buying can be defined by the following three criteria:
- The stock is purchased by three or more insiders within one month.
- The stock is sold by no insiders in the month of intensive purchasing.
- At least two purchasers increase their holdings by more than 10%.
Annaly Capital Management (NYSE:NLY) owns, manages, and finances a portfolio of real estate related investments in United States.
Insider buying during the last 30 days
Here is a table of Annaly's insider-trading activity during the last 30 days by insider.
|Name||Title||Trade Date||Shares Purchased||Current Ownership||Increase In Shares|
|James Fortescue||COO||Nov 11||25,000||160,261 shares||+18.5%|
|Kevin Keyes||President||Nov 12||100,000||300,000 shares||+50.0%|
|Wellington Denahan||CEO||Nov 8||93,000||1,288,081 shares||+7.8%|
There have been 218,000 shares purchased by insiders during the last 30 days.
Insider buying by calendar month
Here is a table of Annaly's insider-trading activity by calendar month.
|Month||Insider buying / shares||Insider selling / shares|
There have been 460,818 shares purchased and there have been zero shares sold by insiders this year. The month of November has seen the most insider buying.
Annaly reported the third-quarter financial results on November 6 with the following highlights:
|Net income||$192.5 million|
|Core earnings||$282.3 million|
|Book value||$12.70 per share|
Annaly has the lowest P/S ratio among these four companies.
Here is a table of these competitors' insider-trading activities this year.
|Company||Insider buying / shares||Insider selling / shares|
Only Annaly has seen intensive insider buying during the last 30 days.
There have been three different insiders buying Annaly and there have not been any insiders selling Annaly during the last 30 days. Two of these three insiders increased their holdings by more than 10%. Annaly has an insider ownership of 0.10%.
There are three analyst buy ratings, 14 neutral ratings, and two sell ratings with an average price target of $11.64. Annaly has a book value of $12.70 per share and the stock has a dividend yield of 13.06%. The stock is currently trading below the book value, which could be a good entry point for the stock based on the intensive insider buying.
Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in NLY over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.