Bargain hunters are wise to pay careful attention to insider buying, because although there are many various reasons for an insider to sell a stock, presumably the only reason they would use their hard-earned cash to make a purchase, is that they expect to make money. Today we look at two noteworthy recent insider buys.
In trading on Friday, trucking shares were relative laggards, down on the day by about 1.8%. Helping drag down the group were shares of Ryder Systems (R), off about 12.4% and shares of Swift Transportation (SWFT) off about 4.3% on the day.
As the saying goes, there are many possible reasons for an insider to sell a stock, but only one reason to buy — they expect to make money. So let’s look at two noteworthy recent insider buys.
This morning, Darden Restaurants (DRI) declared its quarterly dividend of 50 cents per share, an increase of about 16% over its prior dividend. Based on the current stock price, investors can expect a yield of about 4.1% going forward.
Today, the Labor Department released their weekly US Unemployment Insurance Claims Report for the week ending in June 16th, and the figures reveal the stagnation in the labor market.The number of Americans seeking unemployment benefits decreased slightly to a seasonally adjusted 387,000 from last week’s 389,000. The government revised the former week’s number up from a previously reported 386,000. Many economists had expected last week’s claims to fall to 380,000, but the released figures show that such expectations were overly optimistic. Data on the 4-week moving average proved similarly dispiriting. It reached a 2012 high at 386,250, an increase of 3,500 since the last report.
Moody’s Investors Services yesterday downgraded ratings for 15 firms with global capital-markets operations from one to three notches. The firms whose ratings were cut include Bank of America (BAC), Goldman Sachs (GS), and Citigroup (C).
Finance Minister Jim Flaherty has outlined new rules aimed at reining in a hot housing market and ensuring Canadians aren’t taking on more debt than they can afford
TJX Companies (TJX) was upgraded today by Wells Fargo (WFC) to outperform from market perform, as the company is likely gaining market share from JC Penney. Shares are lower by nearly 1.9 percent.
Good morning, welcome to the Financial News Network, your source for the latest business news. Here’s a few things to watch for in the financial world today June 20.The Federal Reserve could be helping the economy again once their two-day meeting finishes today. Many analysts believe Chairman Ben Bernanke and his fellow Fed policy makers will extend Operation Twist beyond $400 billion which would spur growth and buy protection from a possible meltdown in Europe. At 2 pm today, the Federal Reserve will release its forecasts for unemployment, inflation and the expected path of the federal funds rate over the next several years.Procter & Gamble seeing cuts in its future growth. The world’s largest household product maker now sees earnings per share for the fourth quarter to be in the range of 75 to 79 cents on revenue between $20.45 to $20.66 billion. The average analyst estimate is an EPS of 82 cents on revenue of $20.62 billion. The company says the cut in earnings can be attributed to unfavorable foreign exchange rates and continued slow growth in developed markets. P&G will be a stock to watch during today’s trading session.Finally, Swedish fashion retailer H&M reported better-than-expected second quarter results this morning. Profits for the company rose 23% during the quarter. H&M says the increase is due to successful sales of its spring clothing lines as well as stable cotton privies. Profits came in at $745 million in the quarter with revenues at over $5 billion. H&M trades of the Stockholm stock exchange and is up 2.5 percent.That’s what to watch here on the Financial News Network. For more coverage and analysis of the business world check us out at fnno.com or follow us on twitter @FNNOnline. I’m Chuck Pierce, thanks for watching.
Burger King is returning to the New York Stock Exchange today after having been away since 2010. The fast-food chain was purchased that year by 3G Capital and was taken private. 3G Capital sold a minority stake in the company to the London-based Justice Holdings. Justice Holdings payed $1.4 billion and 3G Capital was left with a 71% stake in the company.Justice Holdings founders Alan Parker and Martin Franklin will join Burger King’s board. Initially only 16 percent of shares will be able to be traded among retail investors when the company opens as Burger King Worldwide at the NYSE in New York.
