Nine Insiders at Battered Casual Sit-Down Restaurant Chain Ruby Tuesday Inc. (RT) Buy the Dips, Plus Other Insider Trading

Nine Insiders at Battered Casual Sit-Down Restaurant Chain Purchase Shares

A shouting number of nine Board members and executives at Ruby Tuesday Inc. (NYSE:RT) purchased shares this week. Nonetheless, let’s have a look at the purchases conducted by the company’s management team only. To begin with, Chief Financial Officer Sue Briley purchased 7,500 shares on Tuesday at $2.70 apiece, lifting her overall holding to 35,287 shares. Chief People Officer Thomas Anderson Williams snatched up 10,000 shares on the same day at prices that fell in the range of $2.64 and $2.67 per share. Mr. Williams currently owns 27,997 shares following the recent purchase. Chief Marketing Officer David Skena added 5,000 shares at $2.65 apiece to his aggregate holding that currently comprises 39,488 shares. More importantly, Interim CEO F. Lane Cardwell Jr. snapped up 50,000 shares on Tuesday at prices ranging from $2.69 to $2.75 per share, a purchase that boosted his ownership to 126,256 shares. Last but not least, Chief Legal Officer Rhonda J. Parish bought 10,000 shares at a weighted average price of $2.79 a share. Ms. Parish currently holds an ownership stake of 48,238 shares.

The casual sit-down restaurant chain operating in the bar and grill segment of the casual dining industry has seen its market capitalization plunge by 48% since the start of the year. In the most recent quarter that ended August 30, Ruby Tuesday Inc. (NYSE:RT)’s revenue fell by 8.2% year-over-year to $256.7 million, partly due to a net reduction of 109 company-owned restaurants. The company’s same-restaurant sales dropped by 2.7%, reflecting a decline in guest traffic due to a “challenging and competitive external environment.” Does the massive cluster of insider buying suggest that the struggling casual sit-down restaurant chain is about to turn its business around? Only time can tell. Royce & Associates, founded by Chuck Royce, reported owning 2.25 million shares of Ruby Tuesday Inc. (NYSE:RT) in its 13F for the June quarter.

More Insider Buying at Struggling Galvanizing and Electrical Products Company

Soon after AZZ Inc. (NYSE:AZZ)’s CEO and President, Thomas E. Ferguson, purchased 7,500 shares on Monday, another member of the company’s executive team bought some shares this week. Robert J. Steines, Chief Accounting Officer and Vice President since mid-November 2013, snapped up 1,000 shares on Thursday at a price tag of $54.54 each. After the recent purchase, Mr. Steines currently holds an ownership stake of 2,625 shares.

The emerging cluster of insider buying at the galvanizing and electrical products company has been fueled by the disappointing financial results for the second quarter of fiscal 2017 that ended August 31. Although for AZZ Inc. (NYSE:AZZ)’s second-quarter tends to be seasonally weak, this quarter’s results disappointed to the extent that the management lowered full-year guidance. AZZ operates as a provider of galvanizing services, welding solutions, specialty electrical equipment, and services to the power generation, transmission, distribution, refining, and industrial markets. The company’s management anticipates full-year fiscal 2017 performance to “fall slightly below” the previous earnings-per-share guidance of $3.15-$3.45 and revenue guidance of $930 million-to-$970 million. Jim Simons’ Renaissance Technologies LLC had 43,600 shares of AZZ Inc. (NYSE:AZZ) in its portfolio at the end of the April-to-June quarter.

The final page of this article will reveal fresh insider selling at two other companies.