15 Stocks Insiders Are Bullish About

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 |  Includes: AIG, BKSC, CLVS, DIS, EVBS, HAFC, HON, LRE, LYB, MJN, MPC, NLY, ORI, SMBC, VRX
by: Insider Monkey

Corporate insiders know their companies and the industry way better than almost all other investors. That’s why they always have an edge in trading the stocks of their companies. Additionally, these corporate insiders sometimes even trade based on the material non-public information they have. Therefore, we encourage investors to imitate the investments of corporate insiders and we believe that by doing so, investors are more likely to beat the market in the long term.

We should note that insiders aren’t very good at predicting macro developments so sometimes they are early in their purchases. However, on the average, insiders manage to outperform the market when they purchases their companies’ stocks.

Below we compiled a list of large cap stocks that insiders are bullish about right now. All companies have over $10 billion market cap and were purchased by at least one insider over the past week.

Ticker

Company

YTD Return

Insiders

(NYSE:DIS)

Walt Disney Co.

-8.48%

1

(NYSE:AIG)

American International Group, Inc.

-56.48%

2

(NYSE:HON)

Honeywell International Inc.

-1.00%

1

(NYSE:LYB)

LyondellBasell Industries NV

1.14%

1

(NYSE:NLY)

Annaly Capital Management, Inc.

-0.93%

1

(NYSE:MJN)

Mead Johnson Nutrition Company

13.84%

1

(NYSE:VRX)

Valeant Pharmaceuticals

49.91%

1

(NYSE:MPC)

Marathon Petroleum Corporation

-10.79%

1

Click to enlarge

Walt Disney Co. (DIS): Walt Disney is a diversified worldwide entertainment company. DIS was purchased by one insider over the past week and lost 8.48% since the beginning of this year. John Pepper bought 1,000 shares at $35 on November 18. Pepper also bought 1,000 shares at $36 on November 14. Two years ago, Pepper also bought 3,000 shares of DIS at around $25. Now the stock is trading at $34. DIS has a market cap of $63.7B and a P/E ratio of 13.62. Jim Simons had over $100 million invested in DIS.

American International Group, Inc. (AIG): AIG provides life insurance and retirement services in the United States. It was purchased by two insiders over the past week and lost 56.48% so far this year. On November 18, Laurette Koellner purchased 13,100 shares of AIG in total at around $21.6. A day earlier, Donald Layton purchased 5,000 shares at $22.35 and another 5,000 shares at $21.9583. Now the stock is trading at $21.05 per share. It has a market capof $39.9B and a P/E ratio of 2.09. Bruce Berkowitz had over $2 billion invested in AIG.

Honeywell International Inc. (HON): Honeywell is a diversified technology and manufacturing company. HON was purchased by one insider over the past week and lost 1.00% since the beginning of this year. Kevin Burke purchased 2,000 shares at $54.6 on November 15. The stock is now trading at $50.99. It has a market cap of $39.7B and a P/E ratio of 16.03. Ken Fisher had $243 million of HON shares.

LyondellBasell Industries NV (LYB): LyondellBasell Industries NV is a Netherlands-based company engaged in the chemical industry. The stock was bought by one insider over the past week and returned 1.14% since the beginning of this year. As the large shareholder of the company, Apollo Management Holdings bought 600,000 shares at $34.48 on November 18. Apollo also bought 1,000,000 shares at $34.99, 182,000 shares at $34.97, and 495,261 shares at $34.96 respectively on November 17, 16, and 15. From November 9 to November 11, Apollo also purchased over 2 million shares in total. Now LYB is trading at $29.74. It has a market cap of $19.6B and a P/E ratio of 6.33. Andreas Halvorsen had over $300 million invested in LYB.

Annaly Capital Management, Inc. (NLY): Annaly Capital Management owns, manages and finances a portfolio of real estate related investments. NLY was purchased by one insider during the past week and lost 0.93% since the beginning of this year. On November 14, Rose-Marie Lyght purchased 500 shares at $26.29. Now NLY is trading at $16. It has a market cap of $15.5B and a P/E ratio of 8.32. Bill Miller invested $117 million in NLY shares.

Mead Johnson Nutrition Company (MJN): Mead Johnson is a pediatric nutrition company. MJN was purchased by one insider over the past week and returned 13.84% so far this year. Robert Singer purchased 1,000 shares at $69.704 on November 21. Singer also purchased 1,000 shares at $70.65 on November 18 and another 1,000 shares at $70.49 on November 17. Now the stock is trading at $71.98. It has a market cap of $14.3B and a P/E ratio of 27.56. Bain Capital and Jim Simons also both had over $100 million invested in MJN.

Valeant Pharmaceuticals International, Inc (VRX): Valeant Pharmaceuticals International is a multinational, specialty pharmaceutical company. VRX was purchased by one insider over the past week and returned 49.91% so far this year. On November 17, Stolz Brian bought 2,400 shares at $42.05. The stock is now trading at $42.73. VRX has a market cap of $12.64B and a P/E ratio of 201.95. Andreas Halvorsen invested over $300 million in VRX.

Marathon Petroleum Corporation (MPC): Marathon Petroleum is a petroleum product refiners, transporters and marketers in the United States. MPC was bought by one insider during the past week. Timothy Griffith bought 1,000 shares at $32.2586 on November 17. Earlier in August this year, Griffith also bought 1,000 shares of MPC at $32.83. MPC is currently trading at $33.46 per share. It has a market cap of $11.7B, a P/E ratio of 4.37, and lost 10.79% so far this year.

In addition to the above stocks, insiders are also extremely bullish about Clovis Oncology Inc (NASDAQ:CLVS), Eastern Virginia Bankshares Inc (NASDAQ:EVBS) and Southern Missouri Bancorp Inc (NASDAQ:SMBC). These three stocks were purchased by over 10 insiders during the past week. LRR Energy Lp (NYSE:LRE), Hanmi Financial Corp (NASDAQ:HAFC), Bank of SC Corporation (NASDAQ:BKSC) and Old Republic International Corporation (NYSE:ORI) were also bought by at least five insiders in the past week.

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