Notable Insider Buys This Past Week: Carnival, Worthington
Insider buying can be an encouraging signal for potential investors.
A director picked up shares of a cruise line operator in the past week.
A director at a steel company bucked a selling trend after earnings.
Conventional wisdom says that insiders and 10% owners really only buy shares of a company for one reason: they believe the stock price will rise and they want to profit. So insider buying can be an encouraging signal for potential investors, particularly with markets near all-time highs.
The following are a few notable insider purchases reported in the past week.
Carnival
Carnival Corp (NYSE: CCL) saw one of its directors purchase shares recently. At $46.50 apiece, the 20,000 shares acquired totaled $930,000. Note that the company's chief executive officer bought more than 22,000 shares via trust in the final week of June as well.
Barron's recently made a case for Carnival as a bargain stock. The shares ended the first week of July essentially flat, while the S&P 500 was fractionally higher. The stock closed most recently at $46.91, above the director's purchase price. Note that shares have traded as high as $67.69 in the past 52 weeks, but the consensus analyst price target is $56.06.
Worthington
The Worthington Industries, Inc. (NYSE: WOR) lead director recently stepped up and purchased 25,000 shares of this Ohio-based steel company. At prices of near $40 per share, that cost him almost $1 million.
Note that another director and an executive have sold 6,000 shares altogether this past week, for more than $40 apiece.
The above transactions occurred after Worthington posted mixed quarterly results and expanded the size of its board to 11 directors.
The stock ended the past week at $40.10 per share, after retreating about 2% for the holiday-shortened week. While the consensus target was last seen at just $38, the stock has traded as high as $48.57 in the past 52 weeks.
See also: Aftershocks Rattle SoCal, But Damage, Economic Impact Minimal
At the time of this writing, the author had no position in the mentioned equities.
Keep up with all the latest breaking news and trading ideas by following Benzinga on Twitter.
See more from Benzinga
© 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
