Insider Buying at UAL (UAL), Delta (DAL) A "Solid Vote of Confidence"
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Price: $33.24 -0.33%
Rating Summary:
9 Buy, 7 Hold, 2 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 13 | Down: 28 | New: 14
Rating Summary:
9 Buy, 7 Hold, 2 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 13 | Down: 28 | New: 14
Trade UAL Now!
Analysts at Deutsche Bank commented on recent insider buying activity at UAL (NYSE: UAL) and Delta Air Lines Inc. (NYSE: DAL).
Specifically, UAL CEO Jeffery Smisek bought over $1 million worth of stock and COO Peter McDonald, and CFO John Rainey also bought stock. Delta CFO Paul Jacobson purchased approximately $500,000 worth of DAL a few weeks ago.
Meanwhile, UAL is off ~10% from its closing price on July 25th, the day before it reported June Q 2012 results, and almost 30% lower than its year-to-date high of $25.17 reached on May 31st, the analyst notes. They believe the June quarter results indicate that the company still has some integration issues to get through, "yet overall we think United is making good progress." Despite the setback with has some integration issues, "United managed to produce an ROIC that exceeded its WACC, generate $545 million in net income, and has reduced its net debt by $4 billion over the last two years."
On the insider share purchases, the firm said they "signal a solid vote of confidence."
Both UAL and Delta Air Lines are among the firm's top picks.
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Specifically, UAL CEO Jeffery Smisek bought over $1 million worth of stock and COO Peter McDonald, and CFO John Rainey also bought stock. Delta CFO Paul Jacobson purchased approximately $500,000 worth of DAL a few weeks ago.
Meanwhile, UAL is off ~10% from its closing price on July 25th, the day before it reported June Q 2012 results, and almost 30% lower than its year-to-date high of $25.17 reached on May 31st, the analyst notes. They believe the June quarter results indicate that the company still has some integration issues to get through, "yet overall we think United is making good progress." Despite the setback with has some integration issues, "United managed to produce an ROIC that exceeded its WACC, generate $545 million in net income, and has reduced its net debt by $4 billion over the last two years."
On the insider share purchases, the firm said they "signal a solid vote of confidence."
Both UAL and Delta Air Lines are among the firm's top picks.
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