🟨🤑Top CEO Trades of the Week

Hello!

We now have a public profile to track the CEOWatcher trades from this email (and Nancy Pelosi’s trades if you want to see those)

Let’s get into the top CEO trades from this week!

Top Yellowbrick Trades of the Week

As previous readers will know, our main project is Yellowbrick, a social investing platform that helps you find new trade ideas by showing you the best, verified trades from other investors right when they happen. You can see a feed of the best trades from other users on Yellowbrick alongside the public profiles we curate like Nancy Pelosi and the CEOWatcher account.

Here are a few of the best trades from Yellowbrick this week:

1. Some interesting corporate governance going on at NEWR

2. A merger arbitrage opportunity on BKI (and Michael Burry bought it)

3. NFE (one of our first CEOWatcher finds) dipped

Join Yellowbrick to find your next trade idea by seeing a feed of the top trades!

Top CEO Trades of the Week

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

R A Walker - Director at (link)

A director at the oil giant just bought $630k worth of stock. This is only the 3rd time he has bought ConocoPhillips’ stock, but the last two times he had 67% 1-year returns and 120% 1-year returns. The stock has fallen 22% since November. Is it possible that he knows they have a strong year ahead?

Three other times, he has bought stock for other companies he is a director of, and those performed significantly worse than his two COP purchases (1-year returns of 34%, -22%, and 2% on his other three purchases).

Returns and Win Rate

Overall: 50% average returns with an 80% win rate (4/5 trades were profitable)

1-year: 47% returns one year after purchasing with an 80% win rate (4/5 trades)

90-day: 8% returns with a 40% win rate (2/5 trades - the only winners were his other two COP trades)

Purchase Data

Total Amount Purchased: $627,000

Purchase Price: $104.50

Current Price: $104.75 (+0%)

Rating

Rating: 7/10

Why: The two downsides here are that he doesn’t have much history (only 5 total previous purchases and only 2 previous purchases of COP) and this trade is only about half the size of his previous COP purchase. However, his previous two purchases of COP worked out very well.

Wes Cummins - Director at (link)

This director just made their 19th and 20th purchases of VPG this week and they are pretty huge ($2.1M total). He doesn’t do a great job timing his trades (hence the low 90-day returns and win rates), but he has compelling 1-year and overall returns and this is his biggest purchase ever.

Returns and Win Rate

Note: these are just the returns for VPG trades, not other stocks he sits on the board of

Overall: 36% average returns with a 100% win rate (18/18 trades were profitable)

1-year: 25% returns one year after purchasing with a 70% win rate (7/10 trades)

90-day: 4% returns with a 59% win rate (10/17 trades)

Purchase Data

Total Amount Purchased: $2,118,000

Purchase Price: $42.38

Current Price: $43.74 (+3%)

Rating

Rating: 5/10

Why: I’m going to wait on this one a little bit. He tends to buy after the stock has popped, which is followed by a pull-back before the stock trends upward again (hence the fairly poor 90-day returns compared to one-year returns). With the stock up 10% in a week and 17% in the last two months, I’m going to hold off and see if it comes back down some. If so, then I think this rating would get bumped up and it becomes a more compelling play

Laurie Anne Tucker - Director at (link)

This would not normally make my cut-off to write about because this is only her second-ever purchase. However, it’s a fairly large purchase ($408k) by an independent director that has been on the board for 3.5 years and never bought the stock before (her only other purchase is buying $115k of ADS during the COVID dip which crushed it).

Returns and Win Rate

*She only has 1 previous trade, so these returns are for her ADS purchase

Overall: 72% average returns with a 100% win rate (1/1 trades were profitable)

1-year: 254% returns one year after purchasing with a 100% win rate (1/1 trades)

90-day: 57% returns with a 100% win rate (1/1 trades)

Purchase Data

Total Amount Purchased: $407,880

Purchase Price: $101.97

Current Price: $104.90 (+2%)

Rating

Rating: 4/10

Why: Honestly, I mostly just wanted to keep tabs on this one because it’s a pretty large purchase and I always find it intriguing why someone would just now be making her first purchase (and a large one) after being involved with the company for 3.5 years. I might take a small flyer on this one just to keep tabs.

Thank you for reading CEOWatcher by Yellowbrick 🟨🤑. This post is public so feel free to share it.

Have a great weekend!

Connor