Employers Holdings: 4 Different Insiders Have Purchased Shares During The Last 30 Days

Mar.12.14 | About: Employers Holdings, (EIG)

Summary

Four insiders purchased the stock within one month.

The stock was sold by no insiders in the month of intensive purchasing.

Two of these four insiders increased their holdings by more than 10%.

Employers Holdings (NYSE:EIG) operates in the commercial property and casualty insurance industry in the United States.

Click to enlarge

Insider buying during the last 30 days

Here is a table of Employers' insider activity during the last 30 days.

Name Title Trade Date Shares Purchased Current Ownership Increase In Shares
Michael McSally Director March 10 2,500 3,852 shares +184.9%
Katherine Ong Director Feb 26 500 29,429 shares +1.7%
James Kroner Director Feb 24 5,000 6,352 shares +369.8%
Valerie Glenn Director Feb 24 1,300 48,553 shares +2.8%
Click to enlarge

There have been 9,300 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of Employers' insider activity by calendar month.

Month Insider buying / shares Insider selling / shares
March 2014 2,500 0
February 2014 6,800 0
January 2014 0 0
December 2013 0 0
November 2013 0 27,082
October 2013 0 0
September 2013 0 20,000
August 2013 1,000 82,500
July 2013 0 0
June 2013 0 0
May 2013 0 0
April 2013 0 0
March 2013 0 31,557
February 2013 0 0
January 2013 0 0
Click to enlarge

There have been 10,300 shares purchased, and there have been 161,139 shares sold by insiders since January 2013. The month of February 2014 has seen the most insider buying.

Financials

Employers reported the full-year 2013 financial results on February 19 with the following highlights:

Revenue $723.6 million
Net income $63.8 million
Book value $26.13 per share
Click to enlarge

Click to enlarge

(Source: Earnings presentation)

The four insiders purchased their shares after these results.

Competition

Employers' competitors include The Hartford Financial Services Group (NYSE:HIG), Meadowbrook Insurance Group (NYSE:MIG), and The Travelers Companies (NYSE:TRV). Here is a table comparing these companies.

Company EIG HIG MIG TRV Industry Average (Accident & Health Insurance)
Market Cap: 645.90M 16.01B 282.86M 29.52B 29.91B
Employees: 723 N/A N/A 30,800 9.14K
Qtrly Rev Growth (yoy): 0.21 -0.21 -0.34 0.04 0.40
Revenue: 723.58M 24.66B 791.17M 26.08B 23.60B
Gross Margin: 0.08 0.20 0.02 0.34 0.30
EBITDA: 62.50M 871.00M -8.56M 6.07B 4.83B
Operating Margin: 0.08 0.03 -0.02 0.20 0.17
Net Income: 63.82M 300.00M -112.31M 3.65B N/A
EPS: 2.00 0.34 -2.25 9.74 0.22
P/E: 10.31 104.55 N/A 8.60 12.73
PEG (5 yr expected): 2.36 1.07 1.14 1.17 2.04
P/S: 0.87 0.65 0.33 1.13 1.27
Click to enlarge

Employers has the fastest revenue growth among these four companies.

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

Company Insider buying / shares Insider selling / shares
HIG 0 11,029
MIG 0 0
TRV 0 444,449
Click to enlarge

Only Employers has seen intensive insider buying during the last 30 days.

Conclusion

There have been five different insiders buying Employers, and there have not been any insiders selling Employers during the last 30 days. Two of these four insiders increased their holdings by more than 10%. Employers has an insider ownership of 1.80%.

Employers has a book value of $26.13 per share. I believe the stock could be a good pick below the book value based on the intensive insider buying.

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