F5 Networks (NASDAQ:FFIV) develops, markets, and sells application delivery networking products that optimize the security, performance, and availability of network applications, servers, and storage systems.
Insider selling during the last 30 days
Here is a table of F5 Networks' insider activity during the last 30 days.
|Name||Title||Trade Date||Shares Sold||Rule 10b5-1||Current Ownership||Decrease In Ownership|
|John McAdam||CEO||May 8||14,000||Yes||93,131 shares||13.1%|
|Karl Triebes||CTO||May 1||5,508||Yes||33,976 shares||13.9%|
|Scot Rogers||GC||May 1||620||Yes||10,683 shares||5.5%|
|Manuel Rivelo||EVP||May 1||5,134||Yes||51,065 shares||9.1%|
|Andrew Reinland||CFO||May 1||2,571||Yes||69,779 shares||3.6%|
|Thomas Feringa||EVP||May 1||4,709||Yes||37,933 shares||11.0%|
|Edward Eames||EVP||May 1||4,905||Yes||56,236 shares||8.0%|
There have been 37,447 shares sold by insiders during the last 30 days. All these shares were sold pursuant to a 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 F5 Networks' insider activity by calendar month.
|Month||Insider selling / shares||Insider buying / shares|
There have been 315,892 shares sold, and there have been zero shares purchased by insiders since January 2013.
F5 Networks reported the fiscal 2014 second-quarter, which ended March 31, financial results on April 23 with the following highlights:
|GAAP net income||$69.6 million|
The seven insiders sold their shares after these results.
F5 Networks' fiscal 2014 third-quarter guidance is as follows:
|Qtrly Rev Growth (yoy):||0.20||-0.08||0.12||0.11|
|PEG (5 yr expected):||1.21||1.52||1.69||1.08|
F5 Networks has the highest 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 F5 Networks has seen intensive insider selling during the last 30 days.
There have been seven different insiders selling F5 Networks, and there have not been any insiders buying F5 Networks during the last 30 days. Three of these seven insiders decreased their holdings by more than 10%. F5 Networks has an insider ownership of 0.31%.
F5 Networks has a $86 price target from the Point & Figure chart. I believe there is an opportunity for a short entry with the $86 price target. I would place a stop loss at $117, which is the two-year high. The three main reasons for the proposed short entry are a bearish Point & Figure chart, relatively high P/S ratio, and the intensive insider-selling activity.
Disclosure: I have no positions in any stocks mentioned, but may initiate a short position in FFIV 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.