Here's a CEO with several purchases while the share price continues to drop. I don't know the company but it seems to be a drug discovery / contract manufacturer with no intent to ever seek drug approval on its own. Income seems to be from royalties (about 4.5 to 5% of sales) on Allegra/Telfast.
From Barron's:
FEW INVESTORS KNOW the intrinsic worth of a company's stock like its chief executive officer.
So it's wise to take a closer look when the guy in the corner office is active in his own shares.
Recently, the chief executive of chemical services provider Albany Molecular Research has been buying his beaten-down stock, while the CEO of dress-clothing manufacturer Phillips-Van Heusen is selling shares of his bid-up company.
Thomas D'Ambra, the chairman and CEO of Albany Molecular Research, and his wife, Constance, have been buying stock that has lost 38% of its value in the past year.
The D'Ambras have each purchased 177,156 shares of the company for $1.8 million this month.
Prior to these purchases, neither D'Ambra had purchased shares within the past two years. In fact, the couple had each sold 128,000 shares of the company in December 2004 for $1.4 million each.
Dave Albert, director of communications at Albany Molecular Research, says the D'Ambras gave the December shares to the State University of New York.
The company's shares trade 14% above their 52-week low of 8.01. |
