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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:

  1. The stock is purchased by three or more insiders within one month.
  2. The stock is sold by no insiders in the month of intensive purchasing.
  3. At least two purchasers increased their holdings by more than 10%.

Columbia Property Trust (CXP) is an equity real estate investment trust. The firm invests in the real estate markets of the United States. It focuses on investing in and managing high-quality commercial office properties.

(click to enlarge)

Insider buying during the last 30 days

Here is a table of Columbia Property Trust's insider-trading activity during the last 30 days by insider.

NameTitleTrade DateShares PurchasedCurrent OwnershipIncrease In Shares
Murray McCabeDirectorDec 54,3904,731 shares+1,287.4%
John DixonDirectorNov 26-Dec 25,50010,229 shares+116.3%
Randy FretzSVPNov 261,0851,884 shares+135.8%

There have been 10,975 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of Columbia Property Trust's insider-trading activity by calendar month.

MonthInsider buying / sharesInsider selling / shares
December 20138,3900
November 20132,5850
October 201300

There have been 10,975 shares purchased and there have been zero shares sold by insiders this year. The month of December has seen the most insider buying. Columbia Property Trust was listed on the New York Stock Exchange on October 10.

Financials

Columbia Property Trust reported the third-quarter financial results on November 5 with the following highlights:

Revenue$150.0 million
Funds from operations$70.6 million
Net income$4.8 million
Net debt$1.6 billion

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(Source: November presentation)

Competition

Columbia Property Trust's competitors include Boston Properties (BXP), Liberty Property Trust (LRY), and Vornado Realty Trust (VNO). Here is a table comparing these companies.

CompanyCXPBXPLRYVNO
Market Cap:3.05B15.40B4.90B16.97B
Employees:N/A7304334,428
Qtrly Rev Growth (yoy):0.040.240.09-0.12
Revenue:594.69M2.10B724.59M3.03B
Gross Margin:0.640.640.690.62
EBITDA:226.47M1.24B428.15M1.74B
Operating Margin:0.180.340.340.41
Net Income:2.31M620.84M119.14M194.48M
EPS:0.114.701.402.79
P/E:210.6521.4423.9532.50
PEG (5 yr expected):N/A3.132.423.36
P/S:5.147.276.715.53

Columbia Property Trust has the lowest P/S ratio among these four companies.

Here is a table of these competitors' insider-trading activities this year.

CompanyInsider buying / sharesInsider selling / shares
BXP9,00251,210
LRY0361,363
VNO3,10022,000

Only Columbia Property Trust has seen intensive insider buying during the last 30 days.

Conclusion

There have been three different insiders buying Columbia Property Trust and there have not been any insiders selling Columbia Property Trust during the last 30 days. All three of these insiders increased their holdings by more than 10%.

Columbia Property Trust has a book value of $22.72 per share and the stock has a dividend yield of 5.20%. I believe the stock could be a good pick below the book value based on the intensive insider buying.

(click to enlarge)

(Source: November presentation)

Source: Columbia Property Trust: 3 Different Insiders Have Purchased Shares Since November 26