Who's Buying Now?

It's a new week, which means it's time to check the most interesting insider purchases. After reading through numerous filings using insider tracking tool Form 4 Oracle, here are this week's top five.

The week's buying


Closing Price 7/10/07

Total Value Purchased

52-Week Change

Apollo Group (NASDAQ:APOL)




Carriage Services (NYSE:CSV)




Casual Male Retail Group (NASDAQ:CMRG)




Kayne Anderson MLP (NYSE:KYN)




Prospect Capital (NASDAQ:PSEC)




Sources:, Yahoo! Finance, Form 4 Oracle, SEC filings

A fancy price for Casual Male?
For anyone who thinks they've got the market figured out, have I got a stock for you: Casual Male. Since May, the leading retailer of men's plus-sized clothes has enjoyed a big and tall legal victory and a striking first-quarter earnings report.

And what of the stock? It's down 14% over the past 52 weeks, with much of that decline coming when Q1 net income missed analyst estimates by a penny.

Fools, too, have turned coattail. Have a look at how the professional and amateur stock pickers in our Motley Fool CAPS investor-intelligence database rate Casual Male:


Casual Male

CAPS stars (5 max)


Total ratings


Bullish ratings


Bull ratio


Bearish ratings


Bear ratio


Bullish pitches


Bearish pitches


Data current as of July 11, 2007.

Two stars? Sorry, I don't see it. Return on capital has been on the rise since 2005. Gross margin is expanding faster than America's collective waistline. And owner earnings topped $33.5 million in the last 12 months alone. Pretty impressive for a firm that commands just $439 million in market cap, wouldn't you say?

I would. And so would CAPS All-Star jtallenmd, who in February proclaimed Casual Male's intrinsic value to be "at least $24." I'd agree, except that he may be lowballing it. Assuming 17% dilution for each of the next five years and 22.5% cash flow growth over the same period, Casual Male is worth more than $32 a share, by my math.

One insider with a handle on numbers seems to agree. On Thursday, senior vice president and controller Sheri Knight opened a direct position in Casual Male by purchasing 1,000 shares on the open market.

So, who's right? Bears or bulls? Between the valuation and the insider buying, I'm inclined to side with the snorters. Look for Casual Male to make an appearance in my CAPS portfolio today.

Carriage Services off its deathbed
For Carriage Services, the last year has seen death warmed over. The stock is up 79% since last summer. Yet investors, on the whole, remain neutral on the death care provider.

All except insiders, that is. On Friday, three separate board members opened their wallets to purchase shares. And on June 27, CEO Melvin Payne spent more than $188,000 to pad his position in the stock.

This isn't the first time Carriage Services has appeared in this column. The stock debuted here in February, when insiders had shelled out more than $512,000 at prices below $6.74 a stub. Still, it wasn't my top pick at the time. Peer Service Corp. (NYSE: SCI  ) was. Oops.

I'd love to rectify that today but, with a somewhat steep 1.50 PEG ratio, I can't justify adding Carriage Services to my CAPS portfolio at its current price. My watch list will have to do.

That's all for now. See you back here next week, when we dig through more insider deals in search of the next home run stock.

Get the inside scoop on stocks of all sizes with related Foolishness:

Get all the inside information you need in our collection of investing newsletters. From wallflowerish small caps to swashbuckling Rule Breakers, we've got something for every investor. Get in on the action today; all of our newsletters offer a 30-day risk-free trial. All you have to lose is the prospect of better returns.

Fool contributor Tim Beyers, ranked 2,860 out of more than 50,000 participants in CAPS, holds no stock in any of the companies mentioned above. Check out Tim's holdings on his Fool profile, or read his blog. The Motley Fool's disclosure policy has the inside scoop.

Read/Post Comments (0) | Recommend This Article (11)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 531068, ~/Articles/ArticleHandler.aspx, 10/26/2016 11:24:34 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 2 hours ago Sponsored by:
DOW 18,199.33 30.06 0.17%
S&P 500 2,139.43 -3.73 -0.17%
NASD 5,250.27 -33.13 -0.63%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/26/2016 4:00 PM
CSV $24.17 Down -0.09 -0.37%
Carriage Services CAPS Rating: ***
DXLG $4.35 Down -0.05 -1.14%
Casual Male Retail… CAPS Rating: *
APOL $8.67 Up +0.05 +0.58%
Apollo Group CAPS Rating: *
KYN $19.55 Up +0.20 +1.03%
Kayne Anderson MLP… CAPS Rating: No stars
SCI $26.01 Down -0.15 -0.57%
Service Corporatio… CAPS Rating: *****