In this article, I will feature one mortgage investment company 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 increased their holdings by more than 10%.
America First Multifamily Investors, L.P. (NASDAQ:ATAX) acquires, holds, sells, and deals in a portfolio of federally tax-exempt mortgage revenue bonds that have been issued to provide construction and/or permanent financing of multifamily residential apartments.
Insider buying during the last 30 days
Here is a table of America First Multifamily Investors' insider-trading activity during the last 30 days by insider.
|Name||Title||Trade Date||Shares Purchased||Public Offering||Current Ownership||Increase In Shares|
|Timothy Francis||CFO||Dec 10||475||No||975 shares||+95.0%|
|Patrick Jung||Director||Dec 2-6||2,200||No||7,200 shares||+44.0%|
|George Krauss||Director||Dec 2||40,000||Yes||173,697 shares||+29.9%|
There have been 42,675 shares purchased by insiders during the last 30 days.
Insider buying by calendar month
Here is a table of America First Multifamily Investors' insider-trading activity by calendar month.
|Month||Insider buying / shares||Insider selling / shares|
There have been 56,675 shares purchased and there have been zero shares sold by insiders this year. The month of December has seen the most insider buying.
America First Multifamily Investors reported the third-quarter financial results on November 7 with the following highlights:
|Net income||$3.7 million|
On December 2, America First Multifamily Investors closed a $48.6 million financing.
(Source: Earnings presentation)
America First Multifamily Investors' competitors include Invesco Mortgage Capital (NYSE:IVR), Annaly Capital Management (NYSE:NLY), and Capstead Mortgage (NYSE:CMO). Here is a table comparing these companies.
America First Multifamily Investors has the lowest short float among these four companies.
Here is a table of these competitors' insider-trading activities this year.
|Company||Insider buying / shares||Insider selling / shares|
Only America First Multifamily Investors has seen intensive insider buying during the last 30 days.
There have been three different insiders buying America First Multifamily Investors and there have not been any insiders selling America First Multifamily Investors during the last 30 days. All three of these insiders increased their holdings by more than 10%. America First Multifamily Investors has an insider ownership of 0.10%.
America First Multifamily Investors has a book value of $3.65 per share and the stock has a dividend yield of 7.84%. I have a cautiously bullish bias for the stock currently based on the intensive insider buying.
(Source: Earnings presentation)
Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in ATAX 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.