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There are many different strategies to trade and one of them is to find insider trading of stocks. Any insider trading from corporate officers, key employees, vice presidents, directors, senior management or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. Legal insider trading cannot be based on material non-public information; however, most investors believe that corporate insiders may have better insights into the growth of a company and its proceedings.

In this article, I will focus on notable insider sell transactions from small-cap companies (market cap between $250 million and $2 billion) filed at the Securities and Exchange Commission on July 9, 2012. I have also included the key financial position for the first three companies. You can use this list as a potential starting point for your analysis.

1. Blackrock Kelso Capital Corp (NASDAQ:BKCC): BlackRock Kelso Capital Corporation is a private equity firm specializing in investments in middle market companies. Blackrock Kelso has a market cap of $719.42 million and is currently trading around $9.78 with a 52-week range of $6.30 to $10.34.The stock has gained 20.74% year to date.

According to SEC filings on July 9, 2012, Virginia Retirement System (Beneficial Owner) sold a total of 336,260 shares at a total value of $3,344,346. Over the past three months, there have been a total of 11 insider transactions with 10 Sell transactions. The key financial metrics for Blackrock Kelso are given below:

The following chart provides the insider trading summary for three-month and 12-month periods.

2. Cedar Fair, L.P. (NYSE:FUN): Cedar Fair, L.P. owns and operates amusement and water parks in the United States and Canada.Cedar Fair has a market cap of $1.72 billion and is currently trading around $30.98 with a 52-week range of $16.44 to $31.74. The stock has gained 44.09% year to date.

According to SEC filings on July 9, 2012, Kinzel Richard L (Director) sold a total of 93,074 shares at a total value of $2,859,109. Over the past three months, there have been a total of 17 insider transactions, with 11 Sell transactions. The key financial metrics for Cedar Fair are given below:

The following chart provides the insider trading summary for three-month and 12-month periods.

3. Smith & Wesson Holding Corporation (NASDAQ:SWHC): Smith & Wesson Holding Corporation provides products and services for safety, security, protection, and sports in the United States and internationally. Smith & Wesson has a market cap of $594.50 million and is currently trading around $9.10 with a 52-week range of $2.29 to $9.18.The stock has gained 108.72% year to date.

According to SEC filing on July 9, 2012, Saltz Mitchell A (Director) sold a total of 90,000 shares at a total value of $810,600 and these shares were sold pursuant to a 10b5-1 Sales Plan dated March 12, 2012. The current price is fairly close to its 52-week high. The key financial metrics for Smith & Wesson are given below:

The following chart provides the insider trading summary for three-month and 12-month periods.

Other notable transactions (minimum of 5000 shares) insider selling transactions from small-cap companies filed at the SEC on July 9, 2012 are as follows:

  • 4. BancFirst Corporation (NASDAQ:BANF): BancFirst Corporation operates as the holding company for BancFirst that provides commercial banking services to retail customers and small- to medium-sized businesses in Oklahoma. According to SEC filings on July 9, 2012, R. Banking Limited Partnership (Beneficial Owner, which is indirectly controlled by David E. Rainbolt) sold a total of 11,600 shares at a total value of $498,800.
  • 5. Sun Hydraulics Corporation (NASDAQ:SNHY): Sun Hydraulics Corporation, together with its subsidiaries, designs, manufactures, and sells screw-in hydraulic cartridge valves and manifolds used in hydraulic systems to industrial and mobile customers worldwide. According to SEC filings on July 9, 2012, Koski Christine L (Director & Beneficial Owner) sold a total of 10,000 shares at a total value of $250,733 and these sales were effected pursuant to a Rule 10b5-1 trading plan adopted by Thomas L. Koski on June 27, 2012.
  • 6. Monolithic Power Systems, Inc (NASDAQ:MPWR): Monolithic Power Systems, Inc., a fabless semiconductor company, designs, develops, and markets analog and mixed-signal semiconductors. According to SEC filings on July 9, 2012, Xiao Deming (Pres. of MPS Asia Operations) sold a total of 8,600 shares at a total value of $179,740.
  • 7. National CineMedia, Inc (NASDAQ:NCMI): National CineMedia, Inc., through its subsidiaries, operates a digital in-theatre media network in North America. According to SEC filings on July 9, 2012, Marks Clifford E (Pres. Sales & Chief Marketing Officer) sold a total of 6,200 shares at a total value of $96,100 and this transaction was effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on March 1, 2012.

Sources: Some of the data is sourced from Google Finance, Nasdaq,Finviz, Fidelity and SEC.gov.

Additional Disclosure: I change my positions very frequently and may initiate either long or short positions in the above mentioned stocks at any time.

Disclaimer: I am not a registered investment advisor and do not provide specific investment advice. The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock you should do your own research and reach your own conclusion. It is up to investors to make the correct decision after necessary research. The information and data is believed to be accurate, but no guarantees or representations are made.

Source: Notable Small-Cap Insider Sells On July 9