Chemtura, Loews, and More: Insiders Bought These Stocks Recently

Ken Miller, a Board member at Loews Corporation (NYSE:L), invested about $200,000 in the company- roughly a 40% increase in his stake. Loews operates an insurance company, energy businesses such as contract drilling services and pipelines, and hotels. Renaissance Technologies, founded by billionaire Jim Simons, initiated a position in the company during the third quarter (find more stock picks from Renaissance). However, by comparing the company to a portfolio of peers in industries matching Loews’ business lines- including The Travelers Companies, Inc. (NYSE:TRV) and Transocean LTD (NYSE:RIG), we concluded that the less focused Loews isn’t necessarily a good buy at its current valuation. Read our analysis of Loews.

A company owned by one of Altisource Portfolio Solutions S.A. (NASDAQ:ASPS)’s Board members bought 1,000 shares for $103.87 per share. Altisource is a mortgage portfolio management services company, and its earnings were up 57% in the third quarter compared to the same period in 2011. Billionaire Leon Cooperman’s Omega Advisors has been selling shares (see what else Cooperman is buying and selling), though the fund may be locking in profits after the stock has risen about 300% in the last two years. We had thought that taking profits would be a good idea here as well, since Altisource is higher priced on a forward earnings basis than its peers and depends on continued higher growth to justify that premium.

Sealed Air Corp (NYSE:SEE) Board member Kenneth Manning bought 5,000 shares of stock at an average price of $17. Sealed Air provides packaging for sealing in food and for protecting shipped goods (for example, it produces Bubble Wrap). A recent acquisition has caused higher sales, but not as much of an increase in operating income (in addition, the number of shares outstanding has increased. Wall Street analysts expect good earnings per share numbers, implying a forward P/E multiple of 13, but this seems dependent on stronger business performance.