Is Triumph a Loser?
According to a Securities and Exchange Commission filing, John Drosdick, a director of Triumph Group (TGI), bought 5,000 shares of the stock on Feb. 4 at an average price of $69.21 apiece. Drosdick now owns 10,000 shares of Triumph, a $3.5 billion market cap company that designs and manufactures aircraft parts and components. This purchase doubles the number of shares Drosdick owns directly. He had previously bought shares in November 2012 at prices of about $64 per share. Insider purchases are often considered bullish signals for a stock because the insider is choosing to increase exposure to the company rather than diversify investments.
At the end of January, Triumph released fiscal third-quarter results. Revenue rose 8% from the same period in 2011, thanks to sales increases in all three of the company's segments. Cost of goods sold has been higher, but net income still increased 14% as margins expanded slightly. This brought earnings per share for the quarter to $1.51, roughly what Triumph earned per quarter in the first half of its fiscal year....375 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
There’s no substitute for a trading floor to get great ideas, so Jim Cramer created a better one at Real Money and blogs there exclusively. We then added legendary hedge fund manager, Doug Kass, with his exclusive Daily Diary and best investing ideas. Staffed with more than 4 dozen investing pros, money managers, journalists and analysts, Real Money Pro gives you a flood of opinions, analysis and actionable trading advice found nowhere else, and allows you to interact directly with each expert.
Already a Subscriber? Please login.