Stock of the Week
Arthur Wolcott (Founder and Chairman since 1949) purchased $171,000 of stock across 3 purchases in June 2021 at an average price of $49.61, increasing his stake of Class B shares by 18%, he also owns a similar number of Class A shares (which have 1/20th of a vote). Despite his remarkably long tenure we only have a record of him making 3 previous purchases during 2019-20, most recently at $39.10 in February 2020. This recent cluster of buys is fractionally larger than those prior purchases. This is an unusual large buy from a very long-serving director. We are ranking the stock +1.
DXP Enterprises – (DXPE, +1, June 25th) – David Little (CEO and Chairman since 1986) purchased 30,021 shares on June 18th at $28.67, spending $861,000. This is his first purchase since 2017, and his largest purchase in the shares. Since 2002 he has purchased the shares on 10 prior occasions and has a very good record with an average six-month return of +18%. On May 12th the company announced a 1.5m share repurchase program. The stock has tripled from its 2020 lows, yet despite the move, it has not attracted any meaningful selling. We are ranking the stock +1.