Board Member at Struggling Power Generator Piles Up Shares
Let’s refocus our attention on the insider buying that occurred at Calpine Corporation (NYSE:CPN). Board member W. Benjamin Moreland bought 50,000 shares on Wednesday at prices varying from $11.06 to $11.10 per share. Mr. Moreland, who became a director in late January 2008, currently owns an aggregate of 101,273 shares.
The insider buying comes shortly after the owner and operator of natural gas-fired and geothermal power plants in North America released its financial results for the third quarter. Calpine Corporation (NYSE:CPN), one of the largest power generators in the U.S. measured by power produced, reported operating revenues of $2.36 billion, up from $1.95 billion posted a year ago. The company reported net income of $295 million for the quarter, more than the $273 million-figure recorded a year ago. Nonetheless, Calpine reduced its adjusted EBITDA guidance for 2016, reflecting lower energy margins due to decreased contribution from hedges. The shares of the U.S. power generator are 23% in the red this year. Adam Usdan’s Trellus Management Company bought a new stake of 15,000 shares in Calpine Corporation (NYSE:CPN) during the September quarter.
Insider Buying at Creator of Online Learnings Tools After Earnings Disappointment
Two executives at Instructure Inc. (NYSE:INST) boosted their ownership stakes earlier this week. To start with, Chief Executive Officer Joshua L. Coates snatched up 10,000 shares on Thursday at a weighted average cost of $19.76 per share. The shares are held by the Joshua L. and CeliAnne C. Coates Trust, which holds an aggregate of 115,250 shares. Mr. Coates holds an additional indirect ownership stake of 2.66 million shares, held by Grizzly Peak LLC (of which Mr. Coates is the manager). An additional 43,750 shares are owned via the Coates Equity Trust. Matthew A. Kaminer, Senior Vice President, General Counsel and Secretary, bought 650 shares on Thursday at a price target of $19.71 each, a purchase that lifted his direct ownership stake to 15,267 shares. Mr. Kaminer also reported the purchase of an additional 951 shares, of which 751 shares are held by his spouse and 200 shares are owned by his sons.
The insider buying comes a few days after the provider of a cloud-based learning management platform for academic institutions and companies released a seemingly strong earnings report, which spooked investors though. The small creator of online learning tools has lost a disturbing 21% in the past five trading sessions. Instructure Inc. (NYSE:INST) reported revenue of $30.15 million for the quarter, up from $20.89 million posted a year ago. However, the company’s net loss widened to $12.32 million from $10.21 million. Another reason why investors reacted negatively to the company’s earnings release was the updated guidance for full-year 2016 results. Instructure lowered its full-year revenue guidance to the range of $109.7 million-to-$110.3 million from the previous guidance of $110.8 million-to-$112.0 million. Richard Driehaus’ Driehaus Capital Management LLC was the owner of 286,788 shares of Instructure Inc. (NYSE:INST) at the end of June.
The final page of this article discusses fresh insider selling at two other companies.