Rogers Sugar: 4 Different Insiders Have Purchased Shares This Month

Feb. 9.14 | About: Rogers Sugar (RSGUF)

In this article, I will feature one consumer stock 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%.

Rogers Sugar (OTC:RSGUF) is engaged in the refining, processing, distribution, and marketing of sugar products in Canada.

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Insider buying during the last 30 days

Here is a table of Rogers Sugar's insider-trading activity during the last 30 days by insider.

Name Title Trade Date Shares Purchased Current Ownership Increase In Shares
Manon Lacroix VP Feb 7 8,700 8,700 shares from 0 to 8,700
Robert Copeland VP Feb 5 900 6,200 shares +17.0%
Jacques Dussault SVP Feb 4 6,600 10,105 shares +188.3%

Mike Walton

VP Feb 6 2,970 6,265 shares +90.1%
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There have been 19,170 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of Rogers Sugar's insider-trading activity by calendar month.

Month

Insider buying / shares

Insider selling / shares

February 2014 19,170 0
January 2014 7,509 0
December 2013 0 0
November 2013 0 0
October 2013 5,177 0
September 2013 0 1,000
August 2013 0 0
July 2013 0 0
June 2013 10,445 0

May 2013

0

0

April 2013

14,771

0

March 2013

2,000

0

February 2013

0

0

January 2013

0

0

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There have been 59,072 shares purchased, and there have been 1,000 shares sold by insiders since January 2013. The month of February 2014 has seen the most insider buying.

Financials

Rogers Sugar reported the fiscal 2014 first-quarter, which ended December 28, financial results on January 30 with the following highlights:

Revenue $136.9 million

Net income

$12.5 million

Cash

$5.2 million

Debt

$190.3 million

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The stock plunged after these results. The insiders started buying the shares after the plunge.

Fiscal 2014 outlook

Overall, total sales volume is expected to be comparable to fiscal 2013. However, adjusted gross margin rate is expected to be lower in fiscal 2014 due to an increasingly competitive environment in all domestic segments. In addition, export sales margins will be lower than fiscal 2013 due to a change in U.S. market conditions.

Competition

Rogers Sugar's main competitor is Redpath Sugar. Only Rogers Sugar is publicly listed.

Conclusion

There have been four different insiders buying Rogers Sugar, and there have not been any insiders selling Rogers Sugar during the last 30 days. All four of these insiders increased their holdings by more than 10%.

Rogers Sugar has a dividend yield of 7.9%. The insiders purchased their shares below $4.65. I believe the stock could be a good pick below $4.65 based on the intensive insider buying.

Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in RSGUF 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.