Seeking Alpha
Profile| Send Message|
( followers)  

There are many different strategies to use when trading 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 mid-cap and large-cap companies (ones with market caps greater than $2 billion) filed at the Securities and Exchange Commission on July 13, 2012. I have also included the key financial position of each company and insider trading summaries for three-month and 12-month periods. Use this list as a potential starting point for your analysis.

1. Royal Gold (NASDAQ:RGLD): Royal Gold, together with its subsidiaries, engages in the acquisition and management of precious metal royalties. It owns royalty interests in various producing, development, evaluation, and exploration stage projects that explore for gold, silver, copper, lead, and zinc metals. Royal Gold has a market cap of $4.39 billion and is currently trading around $74.58 with a 52-week range of $57.00 to $83.87. The stock has gained 10.6% year to date.

According to the SEC filing on July 13, 2012, Stanley Dempsey (director) sold a total of 5,000 shares at a total value of $372,250, and these sales were sold pursuant to a 10b5-1 trading plan. Over the past three months, there have been a total of three insider transactions and all of them were Sell transactions. Key financial metrics for Royal Gold are given below:

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

2. Macerich (NYSE:MAC): The Macerich Company is an independent real estate investment trust. The firm invests in the real estate markets of the United States. Macerich has a market cap of $7.80 billion and is currently trading around $58.82, with a 52-week range of $38.64 to $62.83. The stock has gained 16.25% year to date.

According to SEC filings on July 13, 2012, Thomas E. O'Hern (senior EVP, treasurer, and CFO) sold a total of 4,000 shares at a total value of $234,520. These were sold pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on June 20, 2012. Over the past three months, there have been a total of five insider transactions with five Sell transactions. Key financial metrics for Macerich are given below:

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

3. Sothebys (NYSE:BID): Sotheby's, together with its subsidiaries, operates as an auctioneer of authenticated fine and decorative art, jewelry, and collectibles in the United States, the United Kingdom, China, France, and internationally. The company operates in three segments: auction, finance, and dealer. Sothebys has a market cap of $2.19 billion and is currently trading around $32.29, with a 52-week range of $25.00 to $45.93.The stock has gained 13.18% year to date.

According to an SEC filing on July 13, 2012, William F. Ruprecht (president and CEO) sold a total of 4,000 shares at a total value of $126,681. These shares were sold pursuant to a 10b5-1 trading plan entered into by Ruprecht on March 16, 2012. Over the past three months, there have been a total of 13 insider transactions with eight Sell transactions. Key financial metrics for Sothebys are given below:

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

4. Discover Financial Services (NYSE:DFS): Discover Financial Services, a bank holding company, offers direct banking and payment services in the United States. It operates in two segments, direct banking and payment services. Discover has a market cap of $18.00 billion and is currently trading around $34.96, with a 52-week range of $20.51 to $35.72. The stock has gained 45.67% year to date.

According to SEC filings on July 13, 2012, Michael H. Moskow (director) sold a total of 4,000 shares at a total value of $138,800. Over the past three months, there have been a total of 13 insider transactions with three Sell transactions. Key financial metrics for Discover are given below:

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

Rule 10b5-1 Definition: A rule established by the SEC that allows insiders of publicly traded corporations to set up a trading plan for selling stocks they own. Rule 10b5-1 allows major holders to sell a predetermined number of shares at a predetermined time.

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

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 Mid-Cap And Large-Cap Insider Sells Filed On July 13