- Four insiders sold Foot Locker stock within one month.
- The stock was not purchased by any insiders in the month of intensive selling.
- Three of these four insiders decreased their holdings by more than 10%.
Foot Locker (NYSE:FL) operates as a retailer of athletic footwear and apparel.
Insider selling during the last 30 days
Here is a table of Foot Locker's insider activity during the last 30 days.
|Name||Title||Trade Date||Shares Sold||Rule 10b5-1||Current Ownership||Decrease In Ownership|
|Matthew McKenna||Director||March 26||2,175||No||73,910 shares||2.9%|
|Giovanna Cipriano||SVP||March 19||16,459||No||43,351 shares||27.5%|
|Jeffrey Berk||SVP||March 12-17||106,479||No||32,369 shares||76.7%|
|Peter Brown||CIO||March 10||13,333||Yes||20,654 shares + 13,334 options||28.2%|
There have been 138,446 shares sold by insiders during the last 30 days. Peter Brown sold shares pursuant to the Rule 10b5-1 plan. More details about the Rule 10b5-1 trading plan can be found from this link.
Insider selling by calendar month
Here is a table of Foot Locker's insider activity by calendar month.
|Month||Insider selling / shares||Insider buying / shares|
There have been 542,627 shares sold, and there have been zero shares purchased by insiders since January 2013.
Foot Locker reported the fiscal 2013 full-year, which ended February 1, financial results on March 7 with the following highlights:
|Net income||$429 million|
The four insiders sold their shares after these results.
Foot Locker is planning for a mid-single-digit comparable sales gain and a double-digit percentage EPS increase during 2014.
|Qtrly Rev Growth (yoy):||0.05||0.17||0.08|
|PEG (5 yr expected):||1.40||1.22||1.09|
Foot Locker has the weakest revenue growth among these three companies.
Here is a table of these competitors' insider activities this year.
|Company||Insider buying / shares||Insider selling / shares|
Only Foot Locker has seen intensive insider selling during the last 30 days.
There have been four different insiders selling Foot Locker, and there have not been any insiders buying Foot Locker during the last 30 days. Three of these four insiders decreased their holdings by more than 10%. Foot Locker has an insider ownership of 3.21%.
Before going short Foot Locker, I would like to get a bearish confirmation from the Point & Figure chart. The main reason for the proposed short entry is the intensive insider-selling activity.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within 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.