Over the past week, a few multi millionaire insider purchases caught my eye. In this article, I will look into three particular companies that saw their insiders spend several million dollars in their stock:
First off is Kinder Morgan Inc (NYSE:KMI), a $36 billion market cap company that, through its subsidiaries, owns and operates pipelines that transport natural gas, gasoline, crude oil, carbon dioxide and other products. On June 2, Fayez Sarofim, Board Director, spent more than $13.5 million in 400,000 shares of Class P Common Stock. He paid $33.4914 for 200,000 of them, and $34.1467 for the remaining 200,000. Mr. Sarofim now owns over 22.7 million shares directly, and another 2 million shares, though diverse indirect holdings.
In addition to this Director, more than 60 major hedge funds are long in this stock. D. E. Shaw last declared having increased its holdings in the company by 349%, to roughly 6 million shares, worth about $195 million. Similar is Jim Simons’ Renaissance Technologies’ case, who also upped its stake by 397%, and now owns almost 5 million shares.
TransDigm Group Incorporated (NYSE:TDG) is a $10.4 billion market cap designer, producer and supplier of engineered aircraft components for use on nearly all commercial and military aircrafts in service nowadays. Between June 3 and June 5, Robert J. Small, Board Director, acquired 278,080 shares of the company’s Common Stock for prices ranging from $188.74 per share, to $191.15 per share. After spending more than $53 million in TransDigm’s stock, Mr. Small owns 3.4 million shares, through diverse indirect holdings, and 41,162 shares, directly. Other prominent investors betting on this company are Chase Coleman And Feroz Dewan (Tiger Global Management LLC), who own 2.6 million shares.
Finally, there’s Seattle Genetics, Inc. (NASDAQ:SGEN), a $4.75 billion market cap biotechnology company. Between June 2 and June 4, Julian Baker and Felix Baker, Board Directors and Large Shareholders, acquired 281,963 shares of Common Stock for a grand total of $9.83 million. These insiders are brothers and invest together, through a hedge fund that they manage, Baker Bros. Advisors. They now own a total of 21.9 million shares of Seattle Genetics, Inc. (NASDAQ:SGEN), which makes their fund the largest hedge fund shareholder, amongst those that we keep track of.
On top of this couple, Jerome Pfund And Michael Sjostrom’s Sectoral Asset Management upped its exposure to the company by 5% over the last reported quarter, and now owns 442,819 shares of the company.
Disclosure: Javier Hasse holds no position in any stocks mentioned