Five Insiders at Bristow Group Inc. (BRS) Bought Shares Last Week, Plus 4 Other Companies with Noteworthy Insider Trading

Oscar Munoz, the man in charge of United Continental Holdings Inc. (NYSE:UAL), suffered a heart attack in October of 2015 and came back to work in March. In late April, the CEO bought $1 million worth of United’s stock at prices of between $50.50 and $50.55 per share, while the airline’s shares are currently changing hands at less than $45 a share. Joining Mr. Munoz in purchasing shares were a number of other executives at the company, which has seen its market value decline by 22% since the start of 2016. I’m displaying this example to show that eye-catching clusters of insider buying may not necessarily lead to huge trading profits in the near-term. That’s because executives and directors tend to act as long-term, contrarian investors rather than short-term-oriented investors. And even if insiders’ purchases had been followed by massive stock price appreciation in the short-term, they would have been able to cash in only after six months due to regulations put in place by the SEC. Hence, retail investors seeking to incorporate insider trading metrics in their stock analysis process should take a long-term view on investing. With this in mind, the following article will discuss a cluster of insider buying last week, plus several insider purchases and sales recorded with the SEC on Monday.

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Academic research has shown that certain insider purchases historically outperformed the market by an average of seven percentage points per year. This effect is more pronounced in small-cap stocks. Another exception is the small-cap stock picks of hedge funds. Our research has shown that imitating the 15 most popular small-cap stocks among hedge funds outperformed the market by nearly a percentage point per month between 1999 and 2012 (read more details here).

This Provider of Non-Traditional Lodging Registers Insider Buying for the First Time in 2016

Just a few days ago, Interval Leisure Group Inc. (NASDAQ:IILG) registered insider buying activity for the first time this year. Precisely, Board member Thomas O. Ryder bought 30,000 shares on Friday at prices between $14.63 and $14.77 per share, boosting his overall holding to 33,403 shares.

The provider of non-traditional lodging has seen its market capitalization drop by nearly 6% since the start of the year. In early May, Interval Leisure Group Inc. (NASDAQ:IILG) completed the previously-announced acquisition of the vocational ownership business of U.S hotel operator Starwood Hotels & Resorts Worldwide Inc. (NYSE:HOT). Interval Leisure Group posted revenue of $185.9 million for the first three months of 2016, up from $184.6 million recorded a year earlier. Jim Simons’ Renaissance Technologies had 942,800 shares of Interval Leisure Group Inc. (NASDAQ:IILG) in its portfolio at the end of March.

This Casino Entertainment Company Had a Board Member Initiate a New Stake

Paul W. Whetsell, who was appointed to Boyd Gaming Corporation (NYSE:BYD)’s Board of Directors in late January of 2015, acquired a new stake of 7,500 shares on Thursday for $19.52 each. Although the size of the purchase was not overly significant, this type of insider buying should be closely monitored by the investment community. Why? Simply because Mr. Whetsell could have bought a new stake soon after his appointment, but chose not to until last week.

The shares of the casino entertainment company have advanced by 32% in the past 12 months, which makes us believe that Mr. Whetsell sees improving prospects for the company ahead. Boyd Gaming Corporation (NYSE:BYD) operates and owns 22 gaming properties across the nation, which includes a 50% interest in Atlantic City’s Borgata Hotel Casino & Spa. However, Boy Gaming recently agreed to sell its 50% equity interest in Marina District Development Holding Company LLC, the parent company of Borgata Hotel Casino & Spa, to MGM Resorts International (NYSE:MGM). Rehan Jaffer’s H Partners Management owns 5.50 million shares of Boyd Gaming Corporation (NYSE:BYD) as of March 31.

The next page of this insider trading article will digest the insider trading activity recently observed at three other companies.

This Operator of Helicopters Had Five Insiders Purchase Shares Last Week

Bristow Group Inc. (NYSE:BRS) registered a cluster of insider buying last week, which involved five corporate insiders. Board member Ian A. Godden bought 10,000 shares on Thursday at prices of between $12.75 and $12.80 per share, which boosted his ownership to 26,473 shares. David C. Gompert, another Director, snapped up 1,400 units of common stock on the same day for $12.33 each, lifting his stake to 5,605 units. Joining the two Board members was Senior Vice President and Chief Administration Officer, Hilary S. Ware, who bought 5,000 shares at a weighted average cost of $12.61. The CAO currently holds 23,710 shares. Moreover, Senior Vice President and Chief Financial Officer L. Don Miller acquired 3,150 shares on Thursday at $12.69 apiece, after which he owns 8,102 shares. Last but not least, President and Chief Executive Officer Jonathan E. Baliff purchased a 7,600-share block at an average price of $12.98, increasing his holding to 35,766 shares.

The world’s largest operator of helicopters has seen its market value plummet by 38% thus far in 2016, despite having gained 21% in the past five trading sessions. Bristow Group Inc. (NYSE:BRS), one of the two helicopter service providers to the offshore energy industry, has been heavily impacted by reduced exploration and production spending on the part of oil and gas companies. It should be noted that the other provider, CHC Group Ltd, filed for bankruptcy protection in May. Ken Griffin’s Citadel Advisors owned nearly 256,000 shares of Bristow Group Inc. (NYSE:BRS) on March 31.

FLIR Systems Had Two Board Members Discard Shares Last Week

Earl R. Lewis, the Chairman of FLIR Systems Inc. (NASDAQ:FLIR)’s Board and former CEO of the company, discarded 52,288 shares on Friday at $30.99 apiece, cutting his ownership to 571,819 shares. Angus L. Macdonald, who has been on the company’s Board since 2001, unloaded 5,340 shares on the same day at a price of $31.10 per share. After the recent sale, Mr. Macdonald currently holds a stake of 15,528 shares.

The shares of the thermal imaging camera maker are up by 12% thus far in 2016. The share price of FLIR Systems Inc. (NASDAQ:FLIR)’s stock is down by nearly 13% over the past two years, so the two insiders might have decided to cash in after the mild recent strength in the company’s stock performance. D.E Shaw & Co. L.P., founded by David E. Shaw, reported ownership of 1.59 million shares of FLIR Systems Inc. (NASDAQ:FLIR) in its latest 13F filing.

This Provider of Oilfield Services Saw Its CEO Sell Massive Block of Shares This Week

The man in charge of RPC Inc. (NYSE:RES) has been discarding shares lately, including the sale of a massive block of shares earlier this week. President and Chief Executive Officer Richard A. Hubbell sold exactly 100,000 shares on Monday at a price of $15.79 per share, trimming his ownership to 2.74 million shares.

The shares of the provider of specialized oilfield services to independent and major oilfield companies are up by an impressive 38% since the beginning of 2016. RPC Inc. (NYSE:RES)’s revenue for the first quarter of 2016 fell by 53.5% year-over-year to $189.1 million, mainly due to lower activity levels and pricing in the company’s service lines. While crude oil prices have recovered from their multi-year-lows reached in February, the U.S domestic rig count is not likely to recover sharply in the near-term. Ken Griffin’s Citadel Advisors LLC cut its stake in RPC Inc. (NYSE:RES) by 50% during the March quarter, to 1.46 million shares.

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