Insider Buys and Sells: Weekly Wrap-up
Monday, February 8, 2010 | Tycoon StaffRating:
There is no better judge of a company's health and future prospects than the actions of owners and executives of publicly traded companies. That's why insider buying and selling is a critical piece of data for investors, both institutional and individual.
As part of our continuing efforts here at The Tycoon Report to level the playing field between individual investors and the fat cats on Wall Street, we're keeping you informed -- on a daily basis and at no cost whatsoever -- of the most significant insider buying and selling.
Below is your Monday re-cap of the past week's activity of important insider buys and sells. For the most-timely data, be sure to read your Tycoon Report issues each morning!
As part of our continuing efforts here at The Tycoon Report to level the playing field between individual investors and the fat cats on Wall Street, we're keeping you informed -- on a daily basis and at no cost whatsoever -- of the most significant insider buying and selling.
Below is your Monday re-cap of the past week's activity of important insider buys and sells. For the most-timely data, be sure to read your Tycoon Report issues each morning!
SELLS
Align Technology Inc. (ALGN)
President and CEO Thomas M. Prescott SOLD $6 million in options.
Becton, Dickinson and Company (BDX)
Executive Vice President William A. Kozy SOLD $3.2 million in options.
Chairman and CEO Edward J. Ludwig SOLD $3.4 million in options.
Boeing Co. (BA)
EVP, Corp. Pres. & CFO James A. Bell SOLD $1.2 million in shares.
Cooper Industries (CBE)
President, Cooper Crouse-Hinds Curt J. Andersson SOLD $3.5 million in options.
Crane Co. (CR)
President & CEO Eric C. Fast SOLD $1.4 million in options.
Estee Lauder Companies Inc. (EL)
Exec. V.P. & CFO Richard W. Kunes SOLD $2.6 million in options.
Group President John Demsey SOLD $2 million in options.
EVP - Global Human Resources Amy Digeso SOLD $2.7 million in options.
Kinetic Concepts Inc. (KCI)
Executive Vice President and CFO Martin J. Landon SOLD $1.5 million in options.
Quest Diagnostics Inc. (DGX)
SVP & Chief Financial Officer Robert Hagemann SOLD $4.2 million in options.
Patterson Companies Inc. (PDCO)
Director, President & CEO James W. Wiltz SOLD $1.4 million in options.
Economic Calendar for the Week of Feb. 8-12
THURSDAY, FEB. 11
8:30 a.m. Retail Sales
* Importance (A-F): This release merits an A-.
* Source: The Census Bureau of the Department of Commerce.
* Release Time: 8:30 a.m. Eastern around the 13th of the month (data for one month prior).
* Raw Data Available At: http://www.census.gov/svsd/www/advtable.html
The retail sales report is a measure of the total receipts of retail stores. The changes in retail sales are widely followed as the most timely indicator of broad consumer spending patterns.
Retail sales are often viewed ex-autos, as auto sales can move sharply from month to month. It is also important to keep an eye on the gas and food components, where changes in sales are often a result of price changes rather than shifting consumer demand.
Highlights
* Retail sales came in well below expectations, declining 0.3% in December after strong upwardly revised 1.8% growth in November.
* The consensus expected retail sales to increase 0.5%.
* The details of the report look extremely poor.
* Motor vehicle dealer sales contrasted with auto manufacturer numbers as dealer expenditures fell 0.9% even though manufacturers reported an increase in overall vehicle sales of approximately 0.5 million units. The drop in dealer expenditures would represent a significant decline in the per-unit sales price.
* Typical holiday gift-giving sectors saw large losses over the month, as electronics and appliance store sales declined 2.6%, clothing store sales fell 0.6%, and general merchandise stores' expenditures dropped 0.8%.
* The only areas of strong growth were gasoline station expenditures (1.0%) and sporting goods store sales (1.6%). Non-store (online) retail expenditures rose 1.4%.
Key Factors
* The drop was not only disappointing for the fact that many retailers were boasting about stronger-than-expected sales growth over the Christmas holiday period, but also because it represented the first time in three months that consumers did not increase their monthly spending.
* Looking at core sales, which excludes the highly volatile auto dealer, building materials, and gasoline expenditures, sales fell 0.3%. This was the first monthly decline in core sales since July 2009.
* Unlike the overall drop in retail sales, which could have been due to one or two sectors posting massive declines, the drop in core sales is much more disappointing. These goods represent the heart of consumer expenditures, and the drop may cause a drastic change in business demand expectations.
* Growth forecasts have been based upon businesses gearing up for higher consumer demand, and the shakedown in spending could result in businesses lightening their step on the accelerator peddle.
Big Picture
* Retail sales fell off dramatically starting in September 2008. That was when the financial markets fell apart and the news became apocalyptic. Auto sales rebounded due to the Cash for Clunkers stimulus plan, but is expected to remain depressed over the next several months. Retail sales are likely to remain weak for quite a while, given the current trends in employment and the negative wealth impact for depressed prices for homes and stocks.
FRIDAY, FEB. 12
9:55 a.m. University of Michigan Consumer Sentiment Index
* Importance (A-F): This release merits a B-.
* Source: The University of Michigan.
* Release Time: Preliminary: 10 a.m. Eastern on the second Friday of the month (data for current month); Final: 10 a.m. Eastern on the fourth Friday of the month (data for current month).
The Michigan index is almost identical to the Conference Board Consumer Confidence index, though there are two monthly releases, a preliminary and final reading. Like the Conference Board index, it has two subindexes -- expectations and current conditions. The expectations index is a component of the Conference Board's Leading Indicators index.
Highlights
* The University of Michigan Consumer Sentiment index increased from a preliminary reading of 72.8 to a revised 74.4.
* The consensus expected the index to increase 0.2 points to 73.0.
Key Factors
* The jump in the consumer sentiment reading mimics a similar gain in the Conference Board’s Consumer Confidence reading. The consumer confidence index increased from 53.6 in December to 55.9 in January.
* The increase in the index was due to the improvement in consumers’ 6-month economic outlook. The economic outlook index was revised up from 67.5 to 70.1.
* The present conditions index posted a minimal increase of 0.1 points to 81.1.
Big Picture
* Sentiment readings are a reflection of a variety of events rather than an accurate tool for forecasting consumer spending. Gas prices and political events can have an outsized impact on sentiment. In general, these data are of very little economic value.
Source: Briefing.com
