Insider at Integrated Device Technology (IDTI) Makes A Million-Dollar Purchase Before Stock Price Continues to Escalate

Gregory Waters, a Board Director at Integrated Device Technology Inc (NASDAQ:IDTI), has been quite active over the past week. He first started a position of 34,444 shares in the company in the first week of February paying an average price of $10.40 per share. On the same date, he added even more stock to his holding: Waters purchased an extra 15,556 shares for an average price of $10.55 per share. Finally, on Feb. 10th, he doubled his stake in the company by acquiring another 50,000 shares, for $10.59 each (on average). After the reported transactions, the insider owns 100,000 shares of the company, worth more than $1.17 million.

Integrated Device Technology, Inc. (NASDAQ:IDTI)

Integrated Device Technology Inc (NASDAQ:IDTI) is a small-cap ($1.7 billion) designer, developer, manufacturer and marketer of low-power-high-performance mixed signal semiconductor solutions for the advanced communications, computing and consumer industries. Despite its scale and narrow margins most analysts recommend buying this stock, mainly on account of its below average valuation (at 20x P/E, versus an industry average of 22.8x) and amazing long-term EPS growth projections –analysts expect the company to deliver an average annual growth rates around 43.5% over the next five years, compared to an industry average of 17%-18%. However, as the stock price continues to rise (it is up 8% year-to-date), the entry point becomes less attractive. It looks like investors should hurry up and buy this stock before it becomes too expensive (as Mr. Waters did).

In fact, not only analysts and Mr. Waters feel confident about Integrated Device Technology Inc (NASDAQ:IDTI)’s future. Bill Miller’s Legg Mason Capital Management last declared (end of Q3) holding more than 1.4 million shares of the company. In addition, Stephen V. Raneri’s Lioneye Capital Management started a position with more than 1 million shares during the third quarter, as well. Other prominent investors worth mentioning are Jim Simons (Renaissance Technologies) and Chuck Royce (Royce & Associates), both of which hold millionaire stakes in the company.

On the other hand, Jeffrey Smith’s Starboard Value Lp, one of the largest hedge fund bulls, substantially decreased its bets on Device Technology Inc (NASDAQ:IDTI) over the fourth quarter of 2013 and first quarter of 2014. After getting rid of approximately 2.2 million shares, Smith´s fund still owns 10.2 million shares, about eight times its closest “hedgie” follower.

 

Disclosure: Javier Hasse holds no position in any stocks mentioned

Recommended Reading:

Several Insiders Seem to Feel Confident about ADT Corp (ADT)

Two Insiders and Mason Hawkins Increase Their Bets on CONSOL Energy Inc. (CNX)

Strong Insider Activity at Cincinnati Financial Corporation (CINF): Three Insiders Bought Shares

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!