International Paper Company (NYSE:IP) operates as a paper and packaging company in North America, Europe, Latin America, Russia, Asia, and the Middle East.
Insider selling during the last 30 days
Here is a table of International Paper's insider activity during the last 30 days.
|Name||Title||Trade Date||Shares Sold||Option Exercise & Sale||Rule 10b5-1||Current Ownership||Decrease In Ownership|
|Mary Laschinger||SVP||June 6||20,000||No||No||178,161 shares||10.1%|
|Thomas Kadien||SVP||June 5||22,000||No||No||167,747 shares||11.6%|
|John Faraci||CEO||June 2||30,000||No||Yes||1,531,105 shares||1.9%|
There have been 72,000 shares sold by insiders during the last 30 days. John Faraci sold his shares 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 International Paper's insider activity by calendar month.
|Month||Insider selling / shares||Insider buying / shares|
There have been 830,077 shares sold and there have been zero shares purchased by insiders since January 2013.
International Paper reported the first-quarter financial results on April 30 with the following highlights:
|Net loss||$95 million|
The three insiders sold their shares after this report.
International Paper has negative revenue growth currently.
In the second quarter, International Paper is going to experience its heaviest maintenance outage quarter of the year, up $60 million from the first quarter.
(Source: Earnings presentation)
|Qtrly Rev Growth (yoy):||-0.01||0.04||0.01||0.00|
|PEG (5 yr expected):||0.96||3.57||2.45||N/A|
International Paper is the only one with negative revenue growth.
Here is a table of these competitors' insider activities this year.
|Company||Insider buying / shares||Insider selling / shares|
Only International Paper has seen intensive insider selling during the last 30 days.
There have been three different insiders selling International Paper, and there have not been any insiders buying International Paper during the last 30 days. Two of these three insiders decreased their holdings by more than 10%. International Paper has an insider ownership of 0.67%.
International Paper has a $38 price target from the Point & Figure chart. I believe there is an opportunity for a short entry with the $38 price target. I would place a stop loss at $50, which is the all-time high. The three main reasons for the proposed short entry are a bearish Point & Figure chart, negative revenue growth, and the intensive insider-selling activity.
Disclosure: I have no positions in any stocks mentioned, but may initiate a short position in IP 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.