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Summary

  • 6 insiders purchased DXP Enterprises stock within one month.
  • The stock was sold by no insiders in the month of intensive purchasing.
  • 4 of these 6 insiders increased their holdings by more than 10%.

DXP Enterprises (NASDAQ:DXPE) is engaged in distributing maintenance, repair, and operating products, equipment, and services to industrial customers in the United States.
(click to enlarge)

Insider buying during the last 30 days

Here is a table of DXP Enterprises' insider activity during the last 30 days.

NameTitleTrade DateShares PurchasedCurrent OwnershipIncrease In Shares
Kent YeeSVPMay 15-2840018,386 shares+2.2%
Todd HamlinSVPMay 1530018,633 shares+1.6%
David VinsonSVPMay 151,40015,432 shares+10.0%
John JefferySVPMay 151,10011,665 shares+10.4%
Wayne CraneSVPMay 151,0003,000 shares+50.0%
Stephen WickVPMay 155001,042 shares+92.3%

There have been 4,700 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of DXP Enterprises' insider activity by calendar month.

MonthInsider buying / sharesInsider selling / shares
May 20144,7000
April 201400
March 201460012,979
February 2014016,799
January 2014070,222
December 2013019,684
November 201300
October 201302,000
September 201303,000
August 201300
July 201300
June 201300
May 20134,1000
April 201300
March 201303,500
February 201300
January 201300

There have been 9,400 shares purchased and there have been 128,184 shares sold by insiders since January 2013. The month of May 2014 has seen the most insider buying.

Financials

DXP Enterprises reported the first-quarter financial results on May 12 with the following highlights:

Revenue$348.5 million
Net income$11.6 million
Cash$12.1 million
Debt$470.5 million

The stock plunged after these results, and the six insiders purchased their shares after the plunge.

(click to enlarge)

(Source: Investor presentation)

Competition

DXP Enterprises' competitors include Applied Industrial Technologies (NYSE:AIT), and MSC Industrial Direct (NYSE:MSM). Here is a table comparing these companies.

CompanyDXPEAITMSM
Market Cap:1.01B1.99B5.73B
Employees:3,2075,1326,133
Qtrly Rev Growth (yoy):0.20-0.010.16
Revenue:1.30B2.45B2.65B
Gross Margin:0.300.280.46
EBITDA:121.90M194.01M461.33M
Operating Margin:0.080.070.15
Net Income:58.53M115.42M225.63M
EPS:3.822.723.59
P/E:18.2317.5125.63
PEG (5 yr expected):1.251.351.69
P/S:0.780.822.14

DXP Enterprises 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
AIT015,260
MSM0517,880

Only DXP Enterprises has seen intensive insider buying during the last 30 days.

Conclusion

There have been six different insiders buying DXP Enterprises, and there have not been any insiders selling DXP Enterprises during the last 30 days. Four of these six insiders increased their holdings by more than 10%. DXP Enterprises has an insider ownership of 27.30%.

The six insiders purchased their shares at prices ranging from $64.79 to $69.94. I believe DXP Enterprises could be a good pick below $69.94 based on the intensive insider buying.

(click to enlarge)

(Source: Investor presentation)

Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in DXPE 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: DXP Enterprises: 6 Different Insiders Have Purchased Shares During The Last 30 Days