10 Stocks With At Least 30% Insider Ownership

by: Edgar Ambartsoumian
Significant insider ownership is not an indication that a stock will outperform S&P by any means, but is a positive sign that executives have a strong confidence in their company’s growth prospects. One noteworthy example is when Aubrey McClendon, CEO of Chesapeake Energy Corp. (NYSE:CHK), appeared on Jim Cramer’s Mad Money show few years back, reiterating his company’s strong valuations. He owned less than 3 million shares at the time, but now his holdings amount to roughly $90.5 million. After his appearance and optimistic outlook on natural gas, the stock has fallen substantially, leaving the CEO in a tough spot.

Large insider ownership is great, but it doesn't necessarily shield a stock from systematic risk or, in Chesapeake's case, crude prices. Here are top ten stocks with PEG ratios less than 1.0 and insider ownership of at least 30% that you should keep an eye on.
Company Name Insider Ownership Market Cap. PEG Average Volume
Elster Group SE (ELT) 83.50% $1.91B 0.91 174,270
Lone Pine Resources Inc. (LPR) 82.39% $690.28M 0.03 143,270
Cninsure Inc. (CISG) 74.29% $348.61M 0.19 503,900
Safe Bulkers, Inc. (NYSE:SB) 69.54% $468.52M 0.92 134,530
FBL Financial Group Inc (NYSE:FFG) 51.55% $800.79M 0.76 72,130
Brookfield Properties Corp. (NYSE:BPO) 49.72% $7.65B 0.85 2,320,000
Quicksilver Resources Inc. (NYSE:KWK) 44.99% $1.48B 0.82 3,930,000
NXP Semiconductors NV (NASDAQ:NXPI) 38.47% $4.26B 0.24 2,020,000
Royal Caribbean Cruises (NYSE:RCL) 37.02% $5.25B 0.69 3,380,000
Western Refining Inc. (NYSE:WNR) 36.79% $1.30B 0.34 3,590,000

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

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