Boulder Brands: 3 Different Insiders Have Purchased Shares This Month

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 |  About: Boulder Brands, Inc. (BDBD)
by: Markus Aarnio

Summary

3 insiders purchased Boulder Brands stock within one month.

The stock was sold by no insiders in the month of intensive purchasing.

2 of these 3 insiders increased their holdings by more than 10%.

Boulder Brands (NASDAQ:BDBD) provides health and wellness food solutions in the United States and Canada.

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Insider buying during the last 30 days

Here is a table of Boulder Brands' insider activity during the last 30 days.

Name Title Trade Date Shares Purchased Current Ownership Increase In Shares
Thomas McInerney Director May 16 3,000 62,250 shares +5.1%
Benjamin Chereskin Director May 13-14 75,000 85,000 shares +750%
Terrence McIntyre EVP May 12 1,400 6,676 shares +26.5%
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There have been 79,400 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of Boulder Brands' insider activity by calendar month.

Month Insider buying / shares Insider selling / shares
May 2014 79,400 0
April 2014 0 0
March 2014 0 0
February 2014 0 0
January 2014 0 0
December 2013 0 0
November 2013 0 0
October 2013 0 0
September 2013 0 0
August 2013 0 0
July 2013 0 0
June 2013 0 0
May 2013 2,000 0
April 2013 0 0
March 2013 33,246 0
February 2013 0 0
January 2013 0 562,586
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There have been 114,646 shares purchased and there have been 562,586 shares sold by insiders since January 2013. The month of May 2014 has seen the most insider buying.

Financials

Boulder Brands reported the first-quarter financial results on May 8 with the following highlights:

Revenue $122.9 million
Net income $0.5 million
Cash $12.8 million
Debt $295.2 million
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The three insiders purchased their shares after these results.

Outlook

Boulder Brands' 2014 guidance is as follows:

Net sales $540-$550 million
Organic sales growth 13%-18%
Adjusted EBITDA $89-$91 million
EPS $0.39-$0.41
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(Source: Investor presentation)

Competition

Boulder Brands' competitors include ConAgra Foods (NYSE:CAG). Here is a table comparing these two companies.

Company BDBD CAG
Market Cap: 827.85M 13.56B
Employees: 720 34,840
Qtrly Rev Growth (yoy): 0.15 0.14
Revenue: 477.54M 17.90B
Gross Margin: 0.40 0.21
EBITDA: 67.01M 2.30B
Operating Margin: 0.10 0.10
Net Income: 6.94M 809.70M
EPS: 0.12 1.92
P/E: 117.24 16.77
PEG (5 yr expected): 1.46 2.18
P/S: 1.75 0.76
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Boulder Brands has a lower PEG ratio than ConAgra Foods. In ConAgra Foods, there have been 3,300 shares purchased and there have been 288,000 shares sold by insiders this year. Only Boulder Brands has seen intensive insider buying during the last 30 days.

Conclusion

There have been three different insiders buying Boulder Brands, and there have not been any insiders selling Boulder Brands during the last 30 days. Two of these three insiders increased their holdings by more than 10%. Boulder Brands has an insider ownership of 5.00%.

The three insiders purchased their shares at prices ranging from $13.04 to $13.37. I believe Boulder Brands could be a good pick below $13.37 based on the intensive insider buying

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