Smart Insider
Company ‘insiders’ can offer valuable clues to future share performance but investors can’t follow every trade. Identifying the ‘Smart Insiders’ through specialist desktop or quant feeds helps our clients achieve outperformance.
Desktop Service
Better data usually means less of it, not more. By customising delivery right down to user level we ensure that the frequency of delivery and alerts gives our subscribers the facts they need tailored to their investment process. Desktop alerts draw attention to key trades and give users the ability to look behind the headline data with comprehensive filtering and display tools. Every client is different so users can specify the method, timing and frequency of data delivery as well as define the stock universe which matters to them.
Signals Service
Our Signals service starts with our senior analysts getting hands-on with the data. Experienced minds review the data as a team throughout the day uncovering stocks where director trading patterns are most likely to indicate future share-price performance. Ideas and convictions are scrutinised before the team reach a view on companies by looking at trades by individual directors or multiple board members. The conclusions comprise our signals data along with commentary on why each conclusion has been reached.
Where stocks meet individual clients’ investment criteria the signals are communicated in a way that suits their work-flow. Bespoke services can include bespoke analysis of a client portfolio or other stocks of interest. Signals data does not include recommendations to Buy or Sell and stocks.
Quantitative Delivery
With around three million transaction records growing by 1,000 per day, our global insider transaction database dates back to the mid 1990’s in some markets. Each transaction has been scrutinised by our production analysts ensuring consistency, accuracy, and timeliness. Data is processed under consistent criteria using bespoke software tools and secondary data sources to ensure records are accurate and complete.
Whilst clients demand high standards of accuracy, data in itself is not the ultimate goal. Our historic data has a proven track record in giving signals which help clients improve their investment decisions. Coupling Investment grade insider data with more traditional data sets such as fundamentals, news flow, or broker estimates can lend weight to stock sentiment or identify new stock opportunities. Our clients use a variety of features within the data itself to test different hypotheses and can build their own algorithms based on conclusions from historical testing. Our operations staff are on hand to help with this by providing pointers to help with historical analysis, or delivering data derived on bespoke algorithms as required by each client.
Buybacks
Our Company buyback data tracks and analyses the amount and value of shares bought back by listed companies. Covering every market where buybacks are reported our global offering also includes ‘Buyback Intentions’ which are the announcements made before buybacks are executed. Our reports and alerts cut through the noise offering clients concise, timely buyback data tailored to their stock universe.
Politician Stock Trading
Transparency guidelines in the US require Congressmen and Senators to publish details of their trades in company shares globally. Though less stringent than regulations for company insiders the data shows which politicians have a vested interest in certain stocks and provides insight into where positions have increased or reduced.
Stock of the Week
$PNDORA DC up 94%
Pandora upgraded expectations for second-quarter results earnings on Wednesday, driving the share price higher. They are now up 94% since we positively rated the stock on director buying on the 17th of March. This is what we said:
Anders Boyer (CFO, joined August 2018) purchased €1.3 million worth of stock on March 17th at DKK 186, doubling his holdings to 102,000 shares. This is Boyer’s second purchase, his first was for €810,000 in August 2019 at DKK 247, which proved timely using a six-month window. The stock has since moved lower and it is interesting to see an even more aggressive purchase from him. We are ranking the stock +N.
Positive news on $MGM which was ranked on 8-Apr-2020
Positive news that MGM Resorts is starting to reopen hotels. Here is what we said when we positively rated the stock on the 8th of April:
Since March 30th, Paul Salem (Chairman, joined 2018) has purchased $8 million worth of stock at $11 per share, and Keith Meister (Director, 2019) has purchased $18.6 million worth of stock at $11.50, on behalf of Corvex Management. These are confident purchases. Corey Sanders (CFO, joined 2010) purchased 24,991 shares at $12, spending $300,000 in his second and largest purchase. William Hornbuckle (CEO since March 2020, joined 2002) purchased $600,000 worth of stock at $11.97, also his second and largest purchase. This is an aggressive cluster of buying and comes just after Jim Murren (former CEO/CB) resigned effective March 22. We are ranking the stock +1.