🟨🤑 CEO Trade Alerts (2023-02-03) plus a 20% winner

Hello!

Let’s take a look at the top CEO Trades from this week!

To-Do for You

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Recent Wins

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up 21% since last week

Last week’s email ranked the LendingTree CEO’s purchase of $2M of their stock as the top trade of the week. The price was $37.15 when the email was sent and is currently $44.85 (+21%)! It was the start of a stock purchase program, so the CEO will continue buying the stock for the foreseeable future.

A couple of Yellowbrick users got in the action and have some pretty great returns already (just another reason you need to join Yellowbrick 🙂).

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Top CEO Trades of the Week

Reminder: you can read about how CEO Watcher works and how we calculate returns and win rates here

Douglas Lebda - CEO at  (link)

Speaking of the LendingTree CEO, here he is with the second purchase of his stock purchase plan. This is Doug’s 7th purchase of LendingTree since 2012 and he has been massively successful on his previous purchases. This is the second purchase as part of a new 10b5-1 plan that he put in place in December (when the stock was the lowest it’s been in 10 years). So we should see him buying up LendingTree stock on a regular basis for the foreseeable future.

Note: Doug is a top 10 overall CEO in terms of 1Y returns on our CEO Leaderboard

Returns and Win Rate

Overall: 72% returns with an 86% win rate (6/7 trades)

1-year: 164% returns with a 100% win rate (5/5 trades)

90-day: 47% returns with a 100% win rate (5/5 trades)

Purchase Data

Total Amount Purchased: $705,740

Purchase Price: $38.63

Current Price: $44.85 (+16%)

Rating

Rating: 9/10

Why: Exact same reasons as last week. The only real downsides here are that the stock is already up 16% since he made this initial trade (which is the exact same amount it was up between his filing last week and when we sent the email last Friday) and he has only made 7 trades which isn’t a ton of history. However, he set up a 10b5-1 plan meaning that he will be making consistent purchases from here forward, so he clearly believes the price is low. This trade is smaller than last week’s, but it’s still over 2x larger than any other trade he made before. The stock is also still down 65% in the last year, and he has a great track record.

Charles Anderson - Director at (link)

Seven different TFIN directors bought up some stock this week (including one other director that is in this week’s email).

This is Charles's 7th purchase of TFIN since 2014 and his first one since 2022-05-04. TFIN has been on a tear for the last two months (+40%) but is still down 50% since the end of 2021. He has a great track record buying up TFIN stock, though his last purchase in May of last year is still down about 5%. Maybe this trade sets him back on his winning streak.

Returns and Win Rate

Overall: 178% returns with an 86% win rate (6/7 trades)

1-year: 151% returns with a 100% win rate (5/5 trades)

90-day: 13% returns with a 100% win rate (6/6 trades)

Purchase Data

Total Amount Purchased: $200,348

Purchase Price: $54.89

Current Price: $64.10 (+17%)

Rating

Rating: 7/10

Why: Not quite as compelling as the LendingTree CEO’s trade because it isn’t his largest purchase ever and he is still down on his last trade. He also has only made 7 trades before which isn’t a ton of history. However, his track record (especially over 1Y+) is very compelling and the stock price is still only around the price he bought it at last time (as well as being down 50% since the end of 2021).

Michael Rafferty - Director at (link)

This is Michael’s 23rd purchase (20 of them are purchases of TFIN) since 2014 and his first purchase of TFIN since 2021-11-12. Interestingly, he didn’t make the same purchase in May of last year that Charles did.

Returns and Win Rate

Overall: 155% returns with a 96% win rate (22/23 trades)

1-year: 76% returns with an 82% win rate (18/22 trades)

90-day: 15% returns with a 91% win rate (20/22 trades)

Purchase Data

Total Amount Purchased: $82,440

Purchase Price: $54.96

Current Price: $64.10 (+16%)

Rating

Rating: 7/10

Why: Basically the exact same reason as Charles. I do like that he has ~3x more trade history than Charles while still maintaining pretty stellar results.

Thomas Schuetz - CEO at (link)

Thomas has been gobbling up shares since May of 2022. This is his 19th purchase of CMPX and 18 of them have happened since May of 2022. Because of this, we don’t have a ton of long-term history on him. However, his 90-day returns have been great and he just started repurchasing the stock after pausing from the end of September til now. The stock is also down over 25% in the last 45 days and this purchase is the largest he has ever made.

CMPX is a therapeutics company and it sounds like their focus right now is their biliary tract cancer candidate, CTX-009. It has had some promising results through 2022 (which pushed the price from $1.50 to almost $5.50 at the end of last year before it dropped back down to around $4), but it doesn’t sound like the final results will come until January 2024.

Note: he actually made two separate purchases this week, but I’m combining them into 1 for the sake of this email

Returns and Win Rate

Overall: 54% returns with a 90% win rate (18/20 trades)

1-year: 62% returns with an100% win rate (2/2 trades)

90-day: 46% returns with a 94% win rate (17/18 trades)

Purchase Data

Total Amount Purchased: $164,800

Purchase Price: $4.11

Current Price: $3.92 (-5%)

Rating

Rating: 6/10

Why: These pharma/bio/therapeutic companies are always risky as they are dependent on the results of their clinical trials/FDA approvals, but they also tend to offer the highest upside and give us clear catalysts to keep an eye on. In this case, the catalyst is continued good news on their CMPX trials and good results when the trial finishes in January of next year. The inherent riskiness of this space and the fact that nearly all of his purchases have happened within the last year is why I can’t go above a 6 here, but if you follow this space, I’d definitely keep an eye on this.

Reminder

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Thanks for reading!

Connor V