The Wet Seal (NASDAQ:WTSL) operates stores that sell fashionable and contemporary apparel and accessory items for female customers.
Insider buying during the last 30 days
Here is a table of Wet Seal's insider activity during the last 30 days.
|Name||Title||Trade Date||Shares Purchased||Current Ownership||Increase In Shares|
|John Goodman||CEO||March 27||42,016||891,540 shares||+4.9%|
|Adam Rothstein||Director||March 25-26||48,104||100,000 shares||+92.7%|
|John Mills||Director||March 26||25,000||142,506 shares||+21.3%|
There have been 115,120 shares purchased by insiders during the last 30 days.
Insider buying by calendar month
Here is a table of Wet Seal's insider activity by calendar month.
|Month||Insider buying / shares||Insider selling / shares|
There have been 424,356 shares purchased, and there have been zero shares sold by insiders since January 2013.
Wet Seal reported the fiscal 2013 full-year, which ended February 1, financial results on March 20 with the following highlights:
|Net loss||$38.4 million|
The three insiders purchased their shares after these results.
On March 26, Wet Seal closed a $27 million financing.
Wet Seal's first-quarter guidance is as follows:
|Net loss||$0.16-$0.19 per share|
|Comparable store sales growth||negative mid- to high-teens|
|Company||WTSL||AEO||BEBE||GPS||Industry Average (Apparel Stores)|
|Qtrly Rev Growth (yoy):||-0.23||-0.07||-0.04||-0.03||0.00|
|PEG (5 yr expected):||-0.08||2.12||-1.04||1.04||1.04|
Wet Seal has the lowest P/S ratio among these four companies.
Here is a table of these competitors' insider activities this year.
|Company||Insider buying / shares||Insider selling / shares|
Only Wet Seal has seen intensive insider buying during the last 30 days.
There have been three different insiders buying Wet Seal, and there have not been any insiders selling Wet Seal during the last 30 days. Two of these three insiders increased their holdings by more than 10%. Wet Seal has an insider ownership of 3.01%.
The three insiders purchased their shares at prices ranging from $1.15 to $1.19. I believe Wet Seal could be a good pick below $1.19 based on the intensive insider buying.
Disclosure: I am long WTSL. 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.