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Summary

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

The Fresh Market (NASDAQ:TFM) operates as a specialty food retailer in the United States.

(click to enlarge)

Insider buying during the last 30 days

Here is a table of The Fresh Market's insider activity during the last 30 days.

NameTitleTrade DateShares PurchasedCurrent OwnershipIncrease In Shares
David ReaDirectorApril 13,0009,863 shares+43.7%
Craig CarlockCEOMarch 2820,000218,349 shares+10.1%
Jeffrey NaylorDirectorMarch 278,00014,863 shares+116.6%

There have been 31,000 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of The Fresh Market's insider activity by calendar month.

MonthInsider buying / sharesInsider selling / shares
April 20143,0000
March 201428,0000
February 201400
January 201400
December 201300
November 201300
October 201300
September 201300
August 201300
July 201300
June 2013010,000
May 201300
April 20131,0000
March 201300
February 201300
January 201300

There have been 32,000 shares purchased, and there have been 10,000 shares sold by insiders since January 2013. The month of March 2014 has seen the most insider buying.

Financials

The Fresh Market reported the fiscal 2013 full-year, which ended January 26, financial results on March 6 with the following highlights:

Revenue$1.5 billion
Net income$50.8 million
Cash$11.7 million
Debt$50.8 million

The three insiders purchased their shares after these results.

Outlook

The Fresh Market's fiscal 2014 guidance is as follows:

Comparable store sales growth1.5%-3.5%
EPS$1.30-$1.43
Adjusted EPS$1.56-$1.66

The company expects adjusted earnings for the first quarter of $0.41 to $0.44 per diluted share.

Competition

The Fresh Market's competitors include Whole Foods Market (NASDAQ:WFM) and Sprouts Farmers Market (NASDAQ:SFM). Here is a table comparing these companies.

CompanyTFMWFMSFM
Market Cap:1.77B19.43B5.65B
Employees:7,20056,70014,000
Qtrly Rev Growth (yoy):0.150.100.27
Revenue:1.51B13.30B2.44B
Gross Margin:0.340.360.30
EBITDA:165.76M1.26B189.59M
Operating Margin:0.070.070.06
Net Income:50.81M563.00M51.33M
EPS:1.051.500.37
P/E:34.84N/A103.32
PEG (5 yr expected):1.371.872.39
P/S:1.181.472.31

The Fresh Market has the lowest P/S ratio among these three companies.

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

CompanyInsider buying / sharesInsider selling / shares
WFM089,977
SFM010,529,380

Only The Fresh Market has seen intensive insider buying during the last 30 days.

Conclusion

There have been three different insiders buying The Fresh Market, and there have not been any insiders selling The Fresh Market during the last 30 days. All three of these insiders increased their holdings by more than 10%. The Fresh Market has an insider ownership of 20.52%.

The three insiders purchased their shares at prices ranging from $32.99 to $34.35. I believe The Fresh Market could be a good pick below $34.35 based on the intensive insider buying.

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

Source: The Fresh Market: 3 Different Insiders Have Purchased Shares During The Last 30 Days