Bassett Furniture Has Two Top-Tier Insiders Purchase Shares, Plus 2 Other Companies with Fresh Insider Buying

Executive of Individual Annuities Seller Buys Some Shares

American Equity Investment Life Holding (NYSE:AEL) also had a member of its executive team buy some shares this past week. Ronald J. Grensteiner, President of American Equity Investment Life Insurance Company and Executive Vice President, bought 1,770 shares on Thursday at prices ranging from $14.08 to $14.09 per share. Mr. Grensteiner currently holds an ownership stake of 84,249 shares.

The seller of individual annuities and life insurance policies has lost 43% of its market value since the beginning of 2016, reflecting the energy market slump, new regulation from the U.S. Department of Labor, and the United Kingdom’s historic and irreversible decision to leave the European Union. Earlier this year, the DOL announced rules under which fixed indexed annuity products and variable annuity products will be subject to the best interest contract exemption, implying stricter standards for the sale of fixed-indexed annuities. The depressed energy industry put pressure on the value of some bond holdings, whereas the so-called Brexit pushed down yields. American Equity Investment Life Holding (NYSE:AEL) recorded $1.69 billion of fixed-indexed annuity sales for the first quarter, up from $1.23 billion reported a year earlier.

The number of asset managers tracked in our system that were invested in American Equity climbed to 21 from 19 during the first three months of 2016, whereas the overall value of those managers’ equity investments in the company shrank to $104.41 million from $201.21 million quarter-over-quarter. The 21 money managers hoarded nearly 8% of the company’s outstanding shares. Richard S. Pzena’s Pzena Investment Management acquired a new stake of 590,141 shares of American Equity Investment Life Holding (NYSE:AEL) during the March quarter.

Supplier of Electronic Scoreboards Sees Insiders Pile Up Shares

Daktronics Inc. (NASDAQ:DAKT) has witnessed increased insider buying over the past several weeks. Board member Kevin Patrick McDermott snapped up 2,000 shares on Monday for $6.10 each, boosting his overall holding to 13,121 shares. President and CEO Reece A. Kurtenbach purchased two blocks of 5,000 shares each last Tuesday at a weighted average price of $6.20 per share. Following the not-so-distant purchases, Mr. Kurtenbach currently holds a direct ownership stake of 263,958 shares.

The supplier of electronic scoreboards, large electronic display systems, digital messaging solutions, and software and services has seen its market capitalization plunge by 27% since the start of 2016. Daktronics Inc. (NASDAQ:DAKT)’s scoreboards and stadium displays sport strong margins, but they aren’t replaced too often. As a result, the company’s net sales and profitability have fluctuated significantly due to the impact of large project orders, including display systems for professional sports facilities, colleges and universities, as well as other projects in the commercial arena. The company reported net sales of $570.17 million for fiscal year 2016 ended April 30, compared to $615.94 million for fiscal year 2015 and $551.97 million for fiscal year 2014. To the disappointment of investors, Daktronics posted net income of only $2.06 million for fiscal year 2016, down from $20.88 million recorded in fiscal year 2015 and $22.21 million in fiscal year 2014.

There were a mere six money managers in our database that were invested in Daktronics at the end of the first quarter, down by one quarter-over-quarter. Ken Griffin’s Citadel Advisors LLC had 47,218 shares of Daktronics Inc. (NASDAQ:DAKT) in its portfolio at the end of March.

Disclosure: None