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Summary

  • Three insiders purchased Unwired Planet stock within one month.
  • The stock was sold by no insiders in the month of intensive purchasing.
  • Two of these three insiders increased their holdings by more than 10%.

Unwired Planet (NASDAQ:UPIP) develops patents that allow mobile devices to connect to the Internet.

(click to enlarge)

Insider buying during the last 30 days

Here is a table of Unwired Planet's insider activity during the last 30 days.

NameTitleTrade DateShares PurchasedCurrent OwnershipIncrease In Shares
Philip VachonDirectorMarch 2425,000110,637 shares+29.2%
Michael MulicaDirectorMarch 24100,000487,000 shares+25.8%
Daniel MendezEVPMarch 2450,000800,000 shares+6.7%

There have been 175,000 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of Unwired Planet's insider activity by calendar month.

MonthInsider buying / sharesInsider selling / shares
March 2014175,0000
February 201400
January 2014490,0000
December 201300
November 201300
October 20131,500,0000
September 201300
August 201300
July 201300
June 201300
May 201300
April 201300
March 201300
February 201300
January 201300

There have been 2,165,000 shares purchased, and there have been zero shares sold by insiders since January 2013.

Financials

Unwired Planet reported the fiscal 2014 second-quarter, which ended December 30, financial results on January 30 with the following highlights:

Revenue$0
Net loss$7.3 million
Cash$51.1 million
Debt$23.8 million

The three insiders purchased their shares after these results.

News

On March 20, Unwired Planet and Lenovo (OTCPK:LNVGY) announced that Lenovo had agreed to purchase a portfolio of patents from Unwired Planet and to take a term-based license to Unwired Planet's patent portfolio. The aggregate consideration for the combined transaction was $100 million payable in cash.

The three insiders purchased their shares after these news.

Competition

Unwired Planet's competitors include InterDigital (NASDAQ:IDCC) and VirnetX Holding Corp (NYSEMKT:VHC). Here is a table comparing these companies.

CompanyUPIPIDCCVHC
Market Cap:225.56M1.31B677.85M
Employees:1629015
Qtrly Rev Growth (yoy):N/A0.1334.75
Revenue:115.00K325.36M2.20M
Gross Margin:N/A0.561.00
EBITDA:-32.10M118.68M-28.55M
Operating Margin:-279.880.27-13.01
Net Income:-35.63M38.17M-27.61M
EPS:-0.360.92-0.54
P/E:N/A35.16N/A
PEG (5 yr expected):-0.381.30-3.21
P/S:1,680.514.11296.18
Insider Ownership:1.98%0.87%16.29%

Unwired Planet has the second-highest insider ownership among these three companies.

Here is a table of these competitors' insider activities during the last 12 months.

CompanyInsider buying / sharesInsider selling / shares
IDCC08,684
VHC05,333

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

Conclusion

There have been three different insiders buying Unwired Planet, and there have not been any insiders selling Unwired Planet during the last 30 days. Two of these three insiders increased their holdings by more than 10%. Unwired Planet has an insider ownership of 1.98%.

The three insiders purchased their shares at prices ranging from $1.97 to $2.00. I believe Unwired Planet could be a good pick below $2 based on the intensive insider buying.

Source: Unwired Planet: 3 Different Insiders Have Purchased Shares This Month