Four insiders sold Williams-Sonoma 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%.
Williams-Sonoma (NYSE:WSM) operates as a multi-channel specialty retailer of home products.
Insider selling during the last 30 days
Here is a table of Williams-Sonoma's insider activity during the last 30 days.
|Name||Title||Trade Date||Shares Sold||Rule 10b5-1||Current Ownership||Decrease In Ownership|
|Janet Hayes||President, WS Brand||Mar 20-Apr 9||14,919||No||20,554 shares||42.1%|
|Sandra Stangl||President, Pottery Barn Brands||March 25||14,156||No||24,472 shares||36.6%|
|Laura Alber||CEO||March 18||27,583||No||146,645 shares + 50,000 options||12.3%|
|Pat Connolly||CMO||March 19||77,205||No||782,710 shares + 100,000 options||8.0%|
There have been 133,863 shares sold by insiders during the last 30 days.
Insider selling by calendar month
Here is a table of Williams-Sonoma's insider activity by calendar month.
|Month||Insider selling / shares||Insider buying / shares|
There have been 388,900 shares sold, and there have been zero shares purchased by insiders since January 2013. The month of March 2014 has seen the most insider selling.
Williams-Sonoma reported the fiscal 2013 full-year, which ended February 2, financial results on March 12 with the following highlights:
|Net income||$278.9 million|
The four insiders sold their shares after these results.
Williams-Sonoma's revenue growth has been slowing down recently.
Williams-Sonoma's guidance is as follows:
|Net revenue||$920-$940 million||$4,630-$4,710 million|
|Comparable brand revenue growth||4%-6%||5%-7%|
|Qtrly Rev Growth (yoy):||0.04||0.19||-0.06||-0.07|
|PEG (5 yr expected):||1.51||1.11||1.33||1.15|
Williams-Sonoma has the highest PEG ratio among these four companies.
Here is a table of these competitors' insider activities this year.
|Company||Insider buying / shares||Insider selling / shares|
Restoration Hardware Holdings has also seen intensive insider selling during the last 30 days.
There have been four different insiders selling Williams-Sonoma, and there have not been any insiders buying Williams-Sonoma during the last 30 days. Three of these four insiders decreased their holdings by more than 10%. Williams-Sonoma has an insider ownership of 6.99%.
Before going short Williams-Sonoma, 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.