Weekly Top Insider Buys: CVS, CHK, HRB, OI, SFD

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Jul 16, 2012
According to GuruFocus Insider Data, these are the largest insider buys during the past week: CVS Caremark Corporation (CVS, Financial), Chesapeake Energy Corp. (CHK, Financial), H&R Block Inc. (HRB, Financial), Owens-Illinois Inc. (OI, Financial), and Smithfield Foods Inc. (SFD, Financial).


The overall trend of insiders is illustrated in the chart below:


CVS Caremark Corporation (CVS): Senior Vice President and CIO Stephen J. Gold Bought 9,516 Shares



Senior Vice President and CIO of CVS Caremark Corporation, Stephen J. Gold, bought 9,516 shares on 07/09/2012 at an average price of $48.05. CVS/Caremark is the nation's premier integrated pharmacy services provider, combining one of the nation's pharmaceutical services companies with the country's largest pharmacy chain. CVS Caremark Corporation has a market cap of $61.67 billion; its shares were traded at around $48.05 with a P/E ratio of 16.7 and P/S ratio of 0.6. The dividend yield of CVS Caremark Corporation stocks is 1.4%. CVS Caremark Corporation had an annual average earnings growth of 15.7% over the past 10 years. GuruFocus rated CVS Caremark Corporation the business predictability rank of 4-star.


On May 2, CVS Caremark Corporation announced results for the three months ended March 31, 2012. Net revenues for the three months ended March 31, 2012, increased 19.9% or $5.1 billion, to $30.8 billion, up from $25.7 billion in the three months ended March 31, 2011. Income from continuing operations attributable to CVS Caremark for the three months ended March 31, 2012, increased $67 million to $777 million, compared with $710 million during the three months ended March 31, 2011.


Last week, Senior Vice President and CIO Stephen J. Gold bought 9,516 shares of CVS stock. EVP and President, Caremark Per Gh Lofberg bought 46,400 shares in February. Senior Vice President, Chief HR Officer Lisa Bisaccia and President and CEO Larry J. Merlo sold shares this month. Executive Vice President Helena Foulkes sold 93,424 shares in June and Executive Vice President and CLO Douglas A. Sgarro sold 35,043 shares in May.


Chesapeake Energy Corporation (CHK): Director Richard K Davidson Bought 2,000 Shares



Director of Chesapeake Energy Corporation, Richard K Davidson, bought 2,000 shares on 7/09/2012 at an average price of $19.11. Chesapeake Energy Corp. is an independent oil and gas company engaged in the development, exploration, acquisition and production of onshore natural gas and oil reserves. Chesapeake Energy Corporation has a market cap of $13.28 billion; its shares were traded at around $19.11 with a P/E ratio of 9 and P/S ratio of 1.1. The dividend yield of Chesapeake Energy Corporation stocks is 1.8%. Chesapeake Energy Corporation had an annual average earnings growth of 8% over the past 10 years.


On May 1, Chesapeake Energy Corporation announced financial and operational results for the 2012 first quarter. Chesapeake reported a net loss to common stockholders of $71 million ($0.11 per fully diluted common share), ebitda of $597 million (defined as net income (loss) before income taxes, interest expense, and depreciation, depletion and amortization) and operating cash flow of $910 million (defined as cash flow from operating activities before changes in assets and liabilities) on revenue of $2.419 billion and production of 333 billion cubic feet of natural gas equivalent (bcfe).


Last week, Director Richard K. Davidson bought 2,000 shares of CHK stock. Director R. Brad Martin, Director Merrill A. Miller Jr., and Executive Vice President Operations and COO Steven C. Dixon bought shares in June.


H&R Block Inc. (HRB): CFO Gregory J. Macfarlane Bought 6,300 Shares



CFO of H&R Block Inc., Gregory J. Macfarlane, bought 6,300 shares on 7/09/2012 at an average price of $16.48. H&R Block Inc. is a diversified company involved in tax return preparation, electronic filing of income tax returns and other tax-related services. H&R Block Inc. has a market cap of $4.43 billion; its shares were traded at around $16.48 with a P/E ratio of 13.1 and P/S ratio of 1.5. The dividend yield of H&R Block Inc. stocks is 5%.


On June 26, H&R Block Inc. reported GAAP net income from continuing operations for the fiscal year ended April 30, 2012 of $346.0 million, or $1.16 per share. These results include after-tax charges of $30.8 million, or 10 cents per share, largely related to a previously announced strategic realignment and litigation expenses. Total revenues of $2.9 billion were down 1.7 percent compared to the prior year.


This month, CFO Gregory J. Macfarlane and Director Paul J. Brown bought shares of HRB stock.


Owens-Illinois Inc. (OI): Director Helge H. Wehmeier Bought 1,206 Shares



Director of Owens-Illinois Inc., Helge H. Wehmeier, bought 1,206 shares on 7/09/2012 at an average price of $19.2. Owens-Illinois Inc. is one of the largest manufacturers of glass containers in North America, South America, Australia, New Zealand and China, and one of the largest in Europe. Owens-Illinois Inc. has a market cap of $3.16 billion; its shares were traded at around $19.2 with a P/E ratio of 7.3 and P/S ratio of 0.4. Owens-Illinois Inc. had an annual average earnings growth of 0.7% over the past five years.


On April 25, Owens-Illinois Inc. reported financial results for the first quarter ending March 31, 2012. Owens-Illinois Inc. reported first quarter 2012 earnings from continuing operations attributable to the company of $0.73 per share (diluted), compared to $0.50 per share (diluted) in the same period of the prior year. Adjusted net earnings (non-GAAP) were $0.73 per share, compared to $0.53 per share in the first quarter of 2011. First quarter net sales were $1.739 billion in 2012, up from $1.719 billion in the prior year first quarter, primarily due to higher pricing that exceeded unfavorable foreign currency translation.


Last week, Director Helge H. Wehmeier bought 1,206 shares of OI stock. Director David H. Y. Ho bought 729 shares in April. Director Anastasi D. Kelly and Director John J. McMackin Jr. sold shares in May. Senior Vice President and CFO Edward C. White sold 14,650 shares in March.


[b]Smithfield Foods Inc. (SFD): President and CEO C. Larry Pope Bought 10,000 Shares[b] President and C.E.O. of Smithfield Foods Inc., C. Larry Pope, bought 10,000 shares on 07/11/2012 at an average price of $18.91. Smithfield Foods Inc. is one of the world's largest pork processors and hog producer. Smithfield Foods Inc. has a market cap of $3.11 billion; its shares were traded at around $18.91 with a P/E ratio of 7.8 and P/S ratio of 0.2. Smithfield Foods Inc. had an annual average earnings growth of 8.5% over the past 5 years.


On June 14, Smithfield Foods Inc. reported fiscal 2012 fourth quarter results. Sales for the fourth quarter of fiscal 2012 were $3.2 billion, up 3%. Net income was $79.5 million ($.49 per diluted share) in the fourth quarter, compared to net income of $98.4 million ($.59 per diluted share) last year.


This month, Executive Vice President Dhamu R. Thamodaran and President and CEO C Larry Pope bought shares of SFD stock. President and COO, Pork Group George H. Richter and Director David C. Nelson bought shares in June.


For the complete list of stocks that bought by their company executives, go to: Insider Buys.