It was a mixed day for the markets as investors considered the latest economic data from the Labor Department which showed some signs of recovery in the job market. On the economic front, the number of Americans filing for unemployment benefits fell 6,000 to a seasonally adjusted 361,000, according to the Labor Department.
Bargain hunters are wise to pay careful attention to insider buying, because although there are many various reasons for an insider to sell a stock, presumably the only reason they would use their hard-earned dollars to make a purchase, is that they expect to make money. Today we look at two noteworthy recent insider buys.
In trading on Thursday, advertising shares were relative leaders, up on the day by about 2.4%. Leading the group were shares of Millennial Media (MM), up about 24.6% and shares of Interpublic Group Companies (IPG) up about 3.5% on the day.
Tata Motors (TTM) announced that first quarter profits increased by 12 percent, mainly due to a sales jump at its Jaguar Land Rover subsidiary that offset lower profits in its domestic business. Net profit was 22.45 billion rupees, or $406 million and revenue was 433.2 billion rupees, about 30 percent higher than the same period last year.
From Fnno.com, This is the financial news network. Here’s what’s in the news for Wednesday August 8, 2012. The Wall Street Journal reports Deutsche Bank”s (NYSE:DB) attempt to sell its huge real-estate fund group–known as RREEF–is taking its toll on one of the world’s largest property investment businesses. The bank’s lack of clear direction is putting its real estate fund group at a competitive disadvantage, some investors and consultants say. The Wall Street Journal also reports Best Buy (NASDAQ:BBY) founder Richard Schulze sees a turnaround plan that involves cutting prices to better compete against Amazon.com (NASDAQ:AMZN) and other online retailers while ensuring that the in-store customer-service experience is as good as Apple’s (NASDAQ:AAPL). Reuters reports Morgan Stanley (NYSE:MS) may close brokerage offices, laying off support staff and requiring some branch managers also to generate revenue as advisers under a cost-cutting drive, sources say. Bloomberg reports stocks in the U.K. fell from a four month high before Bank of England Governor Mervyn King presents his outlook for the country’s economy today. King will cut forecasts for growth and inflation as policy makers stay open to adding more stimulus for the U.K. economy, economists say. The bank will predict inflation to slow further below its 2% target than previously projected and forecast lower growth this year and next. Finally, Bloomberg reports Cognizant Technology Solutions (NASDAQ:CTSH) is considering acquisitions in France and Germany as Europe”s debt crisis creates more demand for services that lower costs. For more financial news and analysis follow us on Twitter @FNNOnline or check out our website at fnno.com.
Content and social-media company Demand Media Inc. (NYSE: DMD) has a new president and Chief Operatering Officer. Michael Blend was named to both positions yesterday, having been promoted from elsewhere in the company.Blend’s history with Demand Media began with the acquisition of Hotkey, where he served as CEO. He went on to lead the companies eNom domain registration team, before most recently heading Demand Media’s content and media services.Blend will continue to report to Demand Media’s current CEO and co-founder Richard Rosenblatt.
Department store giant Macy’s (NYSE: M) has reported some positive second quarter earnings results. The company reported a profit for the quarter ending on July 28 of $279 million up 16% from last year. The department store chain said it had an EPS of $0.67, above estimates of $0.65, and well above last year’s $0.55 per share. Revenue grew to $6.12 billion, just beating estimates of a flat $6.1 billion. Macy’s success can be attributed to its exclusive products and the flocking of customers from suffering retailers like JC Penney. Recently, Macy’s has bought a minority stake in a Chinese online retailer, VIPStore Co., through which it will sell it’s products to Chinese consumers.
CVS Caremark (CVS) was upgraded by BMO (BMO) to outperform from market perform with a price target of $53 due to the expectation of higher earnings and improved margins during the next several quarters. Shares are higher by about 3.2 percent.
Sapient (SAPE) was downgraded by Wells Fargo (WFC) to market perform from outperform, as the company’s Nitro segment has been experiencing slower growth. Shares are lower by about 2.7 percent.
As the saying goes, there are many possible reasons for an insider to sell a stock, but only one reason to buy — they expect to make money. So let’s look at two noteworthy recent insider buys.
