Insider Buying Week 05-31-24 The Pace is Quickening- there is a bit of a Frantic Frenzy

If you haven’t been to the Sphere in Vegas, go now. It’s a marvel, and probably no better way to show it off with a light show from the Dead & Company, now playing at the Sphere.  I got two mind-bending ideas from last week, so that’s a mission accomplished. Biohaven insiders continue to buy challenging the naysayers. Several insiders are bottom fishing this week, and we’re going to do a quick dive into it. Remember this is my personal notebook I am sharing and am under no obligation to discuss any purchases or sales. Do your own research and don’t be afraid to comment on it here. This is an open channel.

Name: Joseph P. Jr. Adams
Position: CEO and Chairman
Transaction Date: 2023-05-30 Shares Bought: 59,000 Average Price Paid: $82.00 Cost: $4,838,000
Company: FTAI Aviation Ltd. (FTAI)

FTAI Aviation Ltd., a Cayman Islands-exempted company, was established on December 8, 2017. FTAI Aviation Ltd. is a premier integrated full-service provider of aftermarket power and maintenance for the most popular commercial jet engines. It owns and maintains commercial jet engines, including CFM56 and V2500 engines. FTAI’s exclusive portfolio of products, which includes the Module Factory and a joint venture to produce engine PMA, provides cost savings and flexibility to its airline, lessor, and MRO customers. Furthermore, the corporation owns and leases jet aircraft, which frequently permits the purchase of engines at affordable prices. FTAI Aviation specializes in aviation leasing assets and aerospace goods that provide strong and consistent cash flows while also offering the possibility for earnings growth and asset appreciation.

Joseph Adams serves as FTAI Aviation’s Chairman of the Board and CEO. Mr. Adams also chairs the board of FTAI Infrastructure Inc. Until May 2024, he was a member of Fortress’ Management Committee and a Managing Director in its Private Equity Group. He has previously served on the boards of Seacastle, Inc., SeaCube Container Leasing Ltd., Aircastle Limited, and RailAmerica Inc. Mr. Adams formerly worked as a partner at Brera Capital Partners and Donaldson, Lufkin & Jenrette, where he was part of the transportation industry division. Mr. Adams was the first Executive Director of the Air Transportation Stabilization Board, appointed in 2002. Mr. Adams holds a B.S. in Engineering from the University of Cincinnati and an MBA from Harvard Business School.

Opinion: There is no aircraft parts company with a stock chart as good as FTAI Aviation. What are they flying? What is the revenue growth rates and profit picture look like? And why is the CEO plunking down nearly $5million at the top of the range.  I asked these questions and more to my AI. Does this answer from Perplexity help? https://www.perplexity.ai/search/There-is-no-_Il1TKlwTdu2JrP_9xKZ1A#0

Name: John Jr Rakolta
Position: Director
Transaction Date: 2023-05-23 Shares Bought: 20,000 Average Price Paid: $59.32 Cost: $1,186,400
Company: Agree Realty Corp (ADC)

Name: Greg Lehmkuhl
Position: Director
Transaction Date: 2023-05-23 Shares Bought: 1,000 Average Price Paid: $58.99 Cost: $58,990
Company: Agree Realty Corp (ADC)

Agree Realty Corp. is a fully integrated real estate investment trust (REIT) that principally owns, acquires, develops, and manages retail properties that are net-leased to industry leaders. Richard Agree, the current executive chairman, founded the company in 1971, and its common stock debuted on the New York Stock Exchange in 1994. The Operating Partnership, the Company’s sole general partner with a 99.6% common interest as of December 31, 2022, owns the assets and oversees all activities. According to the Operating Partnership’s limited partnership agreement, the Company, as the sole general partner, has all authority and discretion in managing and supervising the partnership. The firm was founded in December 1993 under Maryland law. The company believes it has and will continue to operate in a way that qualifies it as a REIT under the Internal Revenue Code of 1986, as amended.

Ambassador Rakolta served on the Board from August 2011 to September 2019, when he was appointed US Ambassador to the UAE. Before his confirmation, Mr. Rakolta was chairman and CEO of Walbridge, a privately held construction company. Mr. Rakolta is a member of both the Metropolitan Affairs Corporation and the Coalition for Detroit Schoolchildren. He serves on the boards of New Detroit, Inc., the College for Creative Studies, and Business Leaders for Michigan, as well as the Detroit Regional Chamber as a director and member of its Executive Committee. Mr. Rakolta was designated Honorary Consul General of Romania in the United States in 1998. In 1970, he received a Bachelor of Science degree in Civil Engineering from Marquette University.

Greg Lehmkuhl was appointed to the Board of Directors of Agree Realty Corporation on July 20, 2018.  Greg Lehmkuhl is Lineage Logistics’ President and Chief Executive Officer, overseeing all aspects of the company’s global operations. Lineage is the world’s largest cold storage and logistics organization, having been in operation for over a century. Mr. Lehmkuhl previously held the positions of Corporate Executive Vice President for Con-Way and President of Con-Way Freight, where he was in charge of the company’s overall operating and financial performance, strategic planning and business plan development, and the direction of the continuous improvement processes. Mr. Lehmkuhl has a Bachelor’s Degree in Business from Michigan State University and a Master of Business Administration from Oakland University.

Opinion: Contrarian real estate play yielding 4.92% is unappealing to me when you can buy in demand medical, hospital, lab office space HR REIT yielding 7.64%.

Name: Joseph Kim
Position: President & CEO
Transaction Date: 2023-05-23 Shares Bought: 5,000 Average Price Paid: $50.50 Cost: $252,516
Company: Sunoco LP (SUN)

Sunoco LP was founded in 1886 and is based in Dallas, Texas. Sunoco LP, along with its subsidiaries, distributes and retails motor petroleum in the United States. It works in two segments: Fuel Distribution and Marketing and All Other. The Fuel Distribution and Marketing segment sources motor fuel and other petroleum products, such as propane and lubricating oil, from independent refiners and oil companies and distributes it to company-operated retail stores, independently operated commission agents and retail stores, as well as other commercial customers such as unbranded retail stores, other fuel distributors, school districts, municipalities, and other industrial clients. The company owns and operates retail locations under the APlus and Aloha Island Mart brands, providing food, beverages, snacks, grocery and non-food products, motor fuels, and other services. It also provides credit card processing, car washes, lottery, automated teller machines, money orders, prepaid phone cards, and wireless services.

Joseph Kim has been the President and CEO of Sunoco LP since January 2018. He also sits on the board of directors. He formerly served as Sunoco LP’s Chief Operating Officer and Chief Development Officer. Before joining Sunoco LP in October 2015, Mr. Kim was the Chief Operating Officer at Pizza Hut, where he oversaw all operations. Before that, he spent 15 years at Valero Energy, most recently as Senior Vice President of Retail Strategy and Growth. He has previously held top positions in operations, investor relations, real estate, and corporate development. He started his work with Arthur Andersen doing auditing and business consultancy. Mr. Kim graduated from Trinity University in San Antonio, Texas, with a Bachelor of Business Administration degree.

Opinion:

Name: Global GP LLC
Position: General Partner
Transaction Date: 2023-05-29 Shares Bought: 20,000 Average Price Paid: $46.41 Cost: $928,300
Company: Global Partners LP (GLP)

Global Partners LP was founded in 2005 and is headquartered in Waltham, Massachusetts. Global Partners LP purchases, sells, collects, blends, stores, and transports gasoline, gasoline blendstocks, distillates, residual oil, renewable fuels, crude oil, and propane for wholesalers, retailers, and commercial customers. The company operates in three segments: wholesale, gasoline distribution and station operations, and commercial. The Wholesale segment supplies home heating oil, branded and unbranded gasoline, gasoline blendstocks, diesel, kerosene, and residual oil to home heating oil and propane retailers, as well as wholesale distributors. This segment also transports materials using railcars, barges, trucks, and/or pipelines. The Commercial segment sells and supplies unbranded gasoline, home heating oil, diesel, kerosene, residual oil, and bunker fuel to public-sector clients, as well as commercial and industrial end-users; it also offers custom blended fuels.

Opinion:

Name: David F Hoffmeister
Position: Director
Transaction Date: 2023-05-30 Shares Bought: 22,500 Average Price Paid: $44.29 Cost: $996,525
Company: StepStone Group Inc. (STEP)

StepStone Group Inc. is a global private markets investment firm that provides clients with bespoke investment solutions as well as advisory, data, and administrative services. Clients include some of the world’s largest public and private defined benefit and defined contribution pension funds, sovereign wealth funds, and insurance companies, as well as prominent endowments, foundations, family offices, and private wealth clients, such as high-net-worth and mass-affluent individuals. The business works with clients to design and build private market portfolios that are tailored to their specific objectives across private equity, infrastructure, private debt, and real estate asset classes. 

David F. Hoffmeister has served on the board of directors since September 2020. He was Senior Vice President and Chief Financial Officer of Life Technologies Corporation, a multinational life sciences firm, from 2008 until its acquisition by Thermo Fisher Scientific Inc. in 2014. From 2004 to 2008, he was Chief Financial Officer at Invitrogen Corporation, which combined with Applied Biosystems to establish Life Technologies Corporation. Mr. Hoffmeister formerly worked as a senior partner at McKinsey & Company for 20 years, advising clients in the healthcare, private equity, and chemical industries on strategy and organization issues. Mr. Before joining McKinsey & Company, he worked in finance for GTE Corp. and W.R. Grace and Company. Hoffmeister earned his BS from the University of Minnesota and his MBA from the University of Chicago.

Opinion:

Name: John W Childs
Position: Director
Transaction Date: 2023-05-30 Shares Bought: 28,000 Average Price Paid: $35.58 Cost: $996,240
Company: Biohaven Ltd. (BHVN)

Biohaven Ltd. is a global clinical-stage biopharmaceutical business focused on researching, developing, and commercializing life-changing treatments for patients suffering from chronic neurological and neuropsychiatric illnesses, particularly rare ones. The company’s highly trained executive team has a track record of securing innovative drug approvals for migraine, depression, bipolar illness, and schizophrenia. They are working on therapies for diseases with few or no treatment options, such as Kv7 ion channel modulation for epilepsy and neuronal hyperexcitability, glutamate modulation for OCD and Spinocerebellar Ataxia, myostatin inhibition for neuromuscular diseases, and brain-penetrant Tyrosine Kinase 2/Janus Kinase 1 inhibition for immune function.  The company has assembled a highly competent team of senior executives and neuroscience drug developers who combine a fast-paced, results-driven biotech strategy with pharmacological research and development skills.

Mr. John W. Childs is the Chairman and a Partner at J.W. Childs Associates, L.P. In 1995, he co-founded J.W. Childs Associates. Mr. Childs worked for Prudential Insurance Company of America for seventeen years, rising through the ranks to become Senior Managing Director of the Capital Markets Group. He is the Chairman of Sunny Delight and a board member of Kosta Browne, Esselte, Mattress Firm, WS Packaging, and SIMCOM. He served as Chairman of the Board of CHG Healthcare Services before its sale. Mr. Childs earned a bachelor’s degree from Yale University and a master’s degree from Columbia University.

Opinion:

Name: Stuart Essig
Position: Exec. Chairman of the Board
Transaction Date: 2023-05-23 Shares Bought: 52,641 Average Price Paid: $28.49 Cost: $1,499,979
Company: Integra Lifesciences Holdings Corp (IART)

Integra LifeSciences Holdings Corporation was founded in 1989 and is headquartered in Princeton, New Jersey. Codman Specialty Surgical and Tissue Technologies are the company’s two operating segments. The company offers neurosurgery and neurocritical care items such as tissue ablation equipment, dural repair products, cerebral spinal fluid management devices, intracranial monitoring equipment, cranial stabilizing equipment, surgical lighting and apparatus, and post-market services. In addition, the company provides regenerative technology solutions for acute wound treatment, as well as surgical tissue repair devices for hernia, tendon, and peripheral nerve repairs and protection. The company offers its products directly to hospitals, integrated health networks, group purchasing organizations, physicians, surgery centers, and healthcare professionals in the United States, Europe, Asia Pacific, and around the world via several sales and distribution channels.

Stuart M. Essig has served as the chairman of Integra LifeSciences Corporation’s Board of Directors since 2012, and as a director since 1997. From 1997 to 2012, he was Integra’s CEO, helping the company grow into a global surgical supplies leader. Dr. Essig previously served as managing director of Goldman, Sachs & Co.’s medical technology practice. He spent ten years at Goldman Sachs as a senior merger and acquisitions counsel to a diverse group of domestic and international medical technology, pharmaceutical, and biotechnology clients. Dr. Essig previously served on St. Jude Medical Corporation’s Board of Directors from 1999 until 2017, before the company was sold to Abbott Corporation. He was a member of the Zimmer Holdings, Inc. Board of Directors from 2005 to 2008, as well as the Vital Signs, Inc. Board of Directors from 1998 to 2002. Dr. Essig earned an A.B. from Princeton University’s Woodrow Wilson School of Public and International Affairs, graduating with magna cum laude and Phi Beta Kappa honors.

Opinion:

Name: Albert G.W. III Biddle
Position: Director
Transaction Date: 2023-05-30 Shares Bought: 11,000 Average Price Paid: $28.00 Cost: $308,000
Company: Appian Corp (APPN)

Appian Corporation was established in 1999 and is based in McLean, Virginia. Appian Corporation is a software firm that offers a low-code design platform in the United States, Mexico, Portugal, and globally. The company’s platform includes AI, process automation, data fabric, and process mining. It offers The Appian Platform, a fully integrated automation platform that allows businesses to design, automate, and improve mission-critical operations. The organization also provides professional and customer support services. It serves the following industries: financial services, government, life sciences, insurance, manufacturing, energy, healthcare, telecommunications, and transportation.

Before co-founding NBVP in 1996, Jack was the President and CEO of InterCAP, a venture-backed computer graphics software company. InterCAP was ranked 18th on the “Fast 50” list of the mid-Atlantic’s fastest-growing firms when it was acquired by Intergraph in 1995. From 1987 to 1990, Jack worked his way up from Senior Associate to Partner at Vanguard Atlantic, Ltd., a merchant banking firm that specialized in M&A advisory and control investments in software businesses. He worked at VAL as the turnaround CEO of a system software firm before becoming the COO of an application software company. He previously worked as an IT Industry Generalist at the Gartner Group, where he also served as Executive Assistant to the CEO, Gideon Gartner. In 1983, he started working for Business Development Partners, an early-stage venture financing firm in Austin, Texas. Jack earned a bachelor’s degree in economics from the University of Virginia.

Opinion:

Name: Thomas Pike
Position: Chief Executive Officer
Transaction Date: 2023-05-29 Shares Bought: 10,000 Average Price Paid: $24.81 Cost: $248,066
Company: Fortrea Holdings Inc. (FTRE)

Fortrea Holdings Inc. was established in 2023 and is based in Durham, North Carolina. Fortrea Holdings Inc., a contract research company, specializes in providing biopharmaceutical product and medical device development services worldwide. The organization is divided into two business segments: clinical services and enabling services. The Clinical Services section offers services ranging from clinical pharmacology to clinical development. Customers can benefit from the Enabling Services segment’s patient access and clinical trial technology solutions, which simplify complex randomization and optimize the trial drug supply process. The company provides three delivery models: full service, functional service provider, and hybrid service structures. It also provides phase I-IV clinical trial management, customized technology-enabled trial solutions, post-approval services, and consulting services.

Thomas Pike is the Chairman and CEO of Fortrea. Since Fortrea’s independence in July 2023, he has held this position. Tom became President and CEO of Fortrea in January 2023, following LabCorp’s spinoff. Tom has over 30 years of leadership expertise in the global services industry, which includes contract research organizations (CROs), pharmaceutical, biotech, hospital, and site organizations. Before joining LabCorp, he co-founded, advised, and directed many healthcare and technology services organizations. Tom started his career as a McKinsey consultant. Tom holds a bachelor’s degree in accounting from Delaware. He has served on Martin Marietta Materials, Inc.’s Board of Directors since 2019.

Opinion:

Name: David Edward Johnson / Caligan Partners LP
Position: Director
Transaction Date: 2023-05-28 Shares Bought: 425,000 Average Price Paid: $20.55 Cost: $8,733,955
Company: Exelixis Inc. (EXEL)

Exelixis, Inc. was established in 1994 and is based in Alameda, California. The firm was previously known as Exelixis Pharmaceuticals, Inc., but changed its name to Exelixis, Inc. in February 2000. Exelixis, Inc. is an oncology business that pioneers next-generation drugs and combination regimens in cancer care. They have four commercialized pharmaceutical products as a result of their investment in medication research, development, and commercialization, two of which are formulations of the flagship chemical, cabozantinib. The company is growing its product portfolio by using our investments, experience, and strategic collaborations to target a broader range of tumor types and indications with the clinically differentiated pipeline of small molecules and biotherapeutics, including antibody-drug conjugates. 

David E. Johnson is the founder of Caligan Partners LP, which was founded in 2017. David E. Johnson has been a director since May 2023. Mr. Johnson has been the Managing Partner of Caligan Partners LP, an SEC-registered investment adviser, since 2017. Mr. Johnson has also served on the board of directors of Liquidia Corporation, a biopharmaceutical company, since 2021, as well as AMAG Pharmaceuticals, Inc., a pharmaceutical company specializing in iron deficiency anemia products, from 2019 to 2020. Mr. Johnson previously worked as Managing Director at the Carlyle Group, a multinational private equity, alternative asset management, and financial services organization, from 2010 until 2017. Before joining Carlyle Group, he was a Vice President in the Principal Investments division of Morgan Stanley, a global financial services and investment management organization. Mr. Johnson has a bachelor’s and master’s degree in applied mathematics from Harvard University.

Opinion:

Name: Subir Dutt
Position: Chief Sales Officer
Transaction Date: 2023-05-30 Shares Bought: 20,000 Average Price Paid: $15.41 Cost: $308,193
Company: Xometry Inc. (XMTR)

Xometry, Inc. was established in 2013 and is based in North Bethesda, Maryland. Xometry, Inc. runs an online marketplace where purchasers can find custom-manufactured parts and assemblies in the United States and abroad. It offers computer numerical control manufacturing, sheet metal forming, and sheet cutting; 3D printing, including fused deposition modeling, direct metal laser sintering, PolyJet, stereolithography, selective laser sintering, binder jetting, carbon digital light synthesis, multi-jet fusion, and lubricant sublayer photo-curing; and die casting, stamping, injection molding, urethane casting, tube cutting, and tube bending, as well as finishing services and rapid prototyping. It supports the aerospace, healthcare, robotics, industrial, defense, energy, automotive, government, education, and consumer goods industries. 

Subir Dutt has been appointed Chief Sales Officer of the Company from May 15, 2024. Dutt, a highly renowned enterprise sales executive and expert in AI and cloud computing has led high-performing teams at major tech companies such as Google, Oracle, and Capgemini. He applies a profound grasp of technology and business to drive customers’ digital transformations, and he is well-known for leading high-performing sales teams around the world. Subir most recently led Google Cloud’s mid-Atlantic enterprise sales, where he and his team produced significant triple-digit yearly revenue increases. Before joining Google, he was a Senior Vice President at Capgemini, where he led the migration of the company’s Oracle business to XaaS. Subir received his bachelor’s degree in mechanical engineering from Punjab Engineering College in India, followed by his master’s degree in industrial engineering and operations research from Virginia Tech.

Opinion:

Name: David A Handler
Position: Director
Transaction Date: 2023-05-31 Shares Bought: 40,000 Average Price Paid: $14.94 Cost: $597,600
Company: PENN Entertainment Inc. (PENN)

Penn Entertainment, Inc. was founded in 1972 and is headquartered in Wyomissing, Pennsylvania. The corporation was previously known as Penn National Gaming, Inc., but changed its name to PENN Entertainment, Inc. in August 2022. PENN Entertainment, Inc., through its subsidiaries, offers integrated entertainment, sports content, and casino gaming experiences. The company is divided into five segments: northeast, south, west, midwest, and interactive. It offers online sports betting in a variety of jurisdictions, as well as iCasino under the labels Hollywood Casino, L’Auberge, ESPN BET, and Score Bet Sportsbook and Casino. The company’s portfolio also includes PENN Play, a customer loyalty program that provides a variety of prizes and experiences to business channels. In addition, it owns other trademarks and service marks, including Ameristar, Argosy, Boomtown, Hollywood Casino, Hollywood Gaming, L’Auberge, PENN Play, theScore, theScore Bet, theScore esports, and M Resort.

Mr. Handler has been PENN Entertainment’s Board Chair since June 2019 and a director since 1994. Mr. Handler co-founded Tidal Partners in August 2022, which specializes in M&A and strategic advising services for the technology industry. Mr. Handler served as a Partner and founder of Centerview Partners’ Technology Advisory Practice from August 2008 until August 2022. He served as Managing Director of UBS Investment Bank from April 2006 to August 2008.

Opinion:

Name: Jon E Bortz
Position: Chairman and CEO
Transaction Date: 2023-05-31 Shares Bought: 20,000 Average Price Paid: $13.64 Cost: $272,860
Company: Pebblebrook Hotel Trust (PEB)

Pebblebrook Hotel Trust is an internally managed hotel investment company that was established as a Maryland real estate investment trust in October 2009 to acquire and invest in hotel properties primarily in major US cities, as well as resort properties near primary target urban markets and select destination resort markets, with a focus on major gateway coastal markets. As of December 31, 2023, the Company possessed interests in 46 hotels totaling 11,924 guest rooms.  Pebblebrook Hotel, L.P. holds almost all of the Company’s assets and conducts all of its operations. The Company is the Operating Partnership’s sole general partner. The company invests primarily in hotel properties in major US cities, as well as resort properties near the key target urban markets and select destination resort markets, with a focus on important gateway coastal markets and vacation destinations.

Mr. Bortz has been the Chairman of the Board, President, and CEO since the company’s inception in October 2009. Mr. Bortz was the President, Chief Executive Officer, and Trustee of LaSalle Hotel Properties, a publicly traded hotel REIT, from its inception in April 1998 until his retirement in September 2009. Mr. Bortz also served as Chairman of the Board of LaSalle Hotel Properties from January 1, 2001, to his retirement. Before creating LaSalle Hotel Properties, Mr. Bortz formed Jones Lang LaSalle Incorporated’s Hotel Investment Group in January 1994, where he handled all of Jones Lang LaSalle’s hotel investment and development efforts as President. He is currently a member of the Executive Committee of the Board of Governors of the National Association of Real Estate Investment Trusts, or NAREIT, and a trustee of Federal Realty Investment Trust. Mr. Bortz graduated from the University of Pennsylvania’s Wharton School of Business with a B.S. in Economics and is a Certified Public Accountant.

Opinion:

Name: Douglas A Pertz
Position: Director
Transaction Date: 2023-05-24 Shares Bought: 76,910 Average Price Paid: $11.88 Cost: $913,761
Company: Vestis Corp (VSTS)

Vestis Corporation was founded in 1936 and is based in Roswell, Georgia. Vestis Corporation offers uniform rentals and workplace supplies in the United States and Canada. The company products include uniforms such as shirts, pants, outerwear, gowns, scrubs, high visibility garments, particulate-free garments, and flame-resistant garments, as well as shoes and accessories; and workplace supplies such as managed restroom supply services, first-aid supplies and safety products, floor mats, towels, and linens. The company offers services in the following industries: manufacturing, hotel, retail, food processing, food service, pharmaceuticals, healthcare, automotive, and cleanrooms.

Mr. Pertz joined Vestis Corp.’s Board of Directors in May 2023. Mr. Pertz has been the Executive Chairman of The Brink’s organization, the world’s largest cash management organization, since May 2022. The firm provides cash-in-transit, ATM services, worldwide transportation of valuables, cash management, and payment services. Mr. Pertz previously served as Brink’s President and CEO from June 2016 until May 2022. From 2013 to 2016, Mr. Pertz was President and Chief Executive Officer of Recall Holdings Limited, a global provider of digital and physical information management and security services. Before joining Recall, Mr. Pertz worked as a partner at Bolder Capital, LLC, a private equity firm that specializes in middle market acquisitions and investments, as well as One Equity Partners, JPMorgan Chase & Co.’s private equity arm. Mr. Pertz earned his undergraduate degree from Purdue University.

Opinion:

Name: Control Empresarial de Capitales S.A. de C.V.
Position: 10% Owner
Transaction Date: 2023-05-23 Shares Bought: 1,750,000 Average Price Paid: $11.46 Cost: $20,052,760
Company: Talos Energy Inc. (TALO)

Talos Energy Inc. was created in 2011 and is based in Houston, Texas. Talos Energy is a leading energy business that focuses on offshore oil and gas exploration and production in the United States Gulf Coast, the Gulf of Mexico, and offshore Mexico. The company provides safe, dependable, and responsible energy generation that powers the world and brings energy wealth to modern life. Talos is one of the largest independent firms in the Gulf of Mexico, operating a diverse portfolio of deepwater and shallow-water properties in both the United States and Mexico.

Control Empresarial de Capitales S.A. de C.V. is a major shareholder in Talos Energy Inc.  Control Empresarial de Capitales is engaged in a variety of business activities, including investments, financial services, asset management, and other related endeavors. The company specializes in managing and controlling capital investments, as well as providing financial solutions and strategic advice to clients. The company is committed to providing effective and long-term financial solutions, leveraging its capital management experience to generate value for its clients and stakeholders. The company seeks to be a trusted partner, offering comprehensive financial solutions while also contributing to the success and growth of its clients and the economy as a whole.

Opinion:

Name: Thomas Edward Hamilton
Position: Director
Transaction Date: 2023-05-16 Shares Bought: 57,208 Average Price Paid: $8.74 Cost: $499,998
Company: Larimar Therapeutics Inc. (LRMR)

Larimar Therapeutics, Inc., a clinical-stage biotechnology firm, is developing medicines for rare diseases using its innovative cell-penetrating peptide technology platform. CTI-1601, the company’s primary pharmaceutical candidate, is in a Phase 2 OLE clinical study to treat Friedreich’s ataxia, a rare, degenerative, and deadly hereditary condition. Larimar Therapeutics, Inc. is headquartered in Bala Cynwyd, PA.

Thomas Edward Hamilton joined Larimar Therapeutics Inc.’s Board of Directors in May 2023. Tom Hamilton is the current President, CEO, and owner of Construction Forms, Inc., an industrial manufacturing company headquartered in Port Washington, Wisconsin. He also works as a managing member of FA Life Sciences, an early-stage biotech investment firm dedicated to closing the gap in the cure for Friedreich’s ataxia. Mr. Hamilton also serves as a Director and Executive Committee member for Friedreich’s Ataxia Research Alliance. Before joining Con Forms, he was a managing director and strategic advisor to the head of fixed income, currencies, and commodities at Barclays Capital in New York. Mr. Hamilton oversaw the development of Barclays’ Global Securitized Products, Municipal Trading, and Investment Banking businesses. Before joining Barclays, Tom worked at Citigroup Global Markets and Salomon Brothers, Inc. in New York.

Opinion:

Name: Richard Mack
Position: CEO & Chairman
Transaction Date: 2023-05-24 Shares Bought: 160,000 Average Price Paid: $7.20 Cost: $1,151,880
Transaction Date: 2023-05-29 Shares Bought: 40,000 Average Price Paid: $6.90 Cost: $276,000
Company: Claros Mortgage Trust Inc. (CMTG)

Claros Mortgage Trust, Inc. was founded in 2015 and is headquartered in New York, NY. Claros Mortgage Trust, Inc. acts as a real estate investment trust. The company specializes in originating senior and subordinate loans for transitional commercial real estate assets in the United States. The corporation chose to be taxed as a real estate investment trust. As a result, it would not be required to pay corporate income tax on the percentage of its net profits given to shareholders.

Mr. Mack, the Chief Executive Officer, and Chairman, co-founded MRECS in 2014 and has served as CEO, Managing Partner, and Investment Committee member since its inception. He also co-founded MREG in 2013 and has served as CEO and a member of the Investment Committee since its inception. Mr. Mack previously worked in the Real Estate Investment Banking Department at Shearson Lehman Hutton. Mr. Mack is a trustee for the Randall’s Island Sports Foundation and the Child Mind Institute. He is the emeritus president of the HES Community Center in Canarsie, Brooklyn, and serves on the Robin Hood Foundation’s Housing & Homelessness Committee. Mr. Mack was recently elected to the board of the Metropolitan Council on Jewish Poverty. Mr. Mack graduated with a B.S. in Economics from the University of Pennsylvania’s Wharton School and a J.D. from Columbia University’s School of Law.

Opinion:

Name: James T Treace
Position: Director
Transaction Date: 2023-05-28 Shares Bought: 50,000 Average Price Paid: $5.07 Cost: $253,475
Company: Treace Medical Concepts Inc. (TMCI)

Treace Medical Concepts, Inc. is a medical device company headquartered in Ponte Vedra Beach, Florida, that was established in 2014. Treace Medical Concepts Inc. is a medical technology company focused on raising the standard of care for surgically treating bunions and other midfoot deformities. The company developed and patented the Lapiplasty® 3D Bunion Correction System®, a collection of instruments, implants, and surgical techniques designed to surgically correct all three planes of the bunion deformity while also addressing the underlying cause, allowing patients to resume active lifestyles. To better serve the needs of bunion patients, the company developed the Adductoplasty® Midfoot Correction System, which is designed for reproducible surgical correction of the midfoot, as well as the Hammertoe PEEK Fixation System, which is designed to treat hammertoe, claw toe, and mallet toe anomalies.

James T. Treace has served as chairman of the board of directors for Treace Medical Concepts, Inc. since June 2014. Mr. Treace established J&A Group LLC in 2000, where he has worked as Manager since 2014, and TreBay Medical Corp. in 1993, where he served as Chairman, President, and CEO from 1993 to 1996. Mr. Treace previously held the positions of Chairman, President, and CEO at Xomed Surgical Products, Inc. from 1996 to 1999, President and Chief Executive Officer at Linvatec Corp. from 1981 to 1990, President and Chief Executive Officer at ConMed Linvatec, Inc. from 1981 to 1990 at Medtronic Spine LLC, Chairman from 2001 to 2007, Chairman at Wright Medical Group, Inc. from 1999 to 2008, Chairman at Kyphon, Inc. from 2002 to 2007.

Opinion:

Name: Fredrick Schaufeld
Position: Director
Transaction Date: 2023-05-31 Shares Bought: 119,295 Average Price Paid: $4.47 Cost: $533,249
Transaction Date: 2023-05-28 Shares Bought: 253,366 Average Price Paid: $4.42 Cost: $1,119,267
Company: Telos Corp (TLS)

Telos Corporation was founded in 1968 and is headquartered in Ashburn, Virginia. Telos Corporation, together with its subsidiaries, provides cyber, cloud, and enterprise security solutions worldwide. The company operates in two segments, Security Solutions and Secure Networks. It provides Xacta, a platform for enterprise cyber risk management and security compliance automation; and consulting, assessment and compliance, engineering and evaluation, operations, and penetration testing services. The company also offers Telos Automated Message Handling System, a web-based organizational message distribution and management for mission-critical communications used by military field operatives; and Telos Advanced Cyber Analytics solution, which is a threat feed source of global Internet Protocol addresses known to engage in potential malicious activity, including mass scanning and generic opportunistic attacks; and Telos Ghost, a solution to eliminate cyberattack surfaces by obfuscating and encrypting data, masking user identity and location, and hiding network resources, as well as provides security and privacy for intelligence gathering, cyber threat protection, securing critical infrastructure, and protecting communications and applications.

Mr. Schaufeld was elected to the board in November 2020.  Mr. Schaufeld is a partner with Monumental Sports and Entertainment, which owns the Washington Capitals, Wizards, Mystics, Capital City Go-Go, and Capital One Arena. He is a partner in the Washington Nationals, Team Liquid (e-Sports), the Professional Fighters League, and the Hill Top House Hotel in Harpers Ferry. Before joining SWaN, Mr. Schaufeld founded and ran NEW Corp., which was bought by Asurion in 2008. Mr. Schaufeld now serves on the boards of various private corporations. Mr. Schaufeld earned a BA in Government from Lehigh University.

Opinion:

Name: Cameron Breitner
Position: Director
Transaction Date: 2023-05-29 Shares Bought: 750,000 Average Price Paid: $3.14 Cost: $2,354,325
Company: Petco Health & Wellness Company Inc. (WOOF)

Petco Health and Wellness Company, Inc. was formed in 1965 and is based in San Diego, California. Petco Health & Wellness firm, Inc. is a health and wellness firm that focuses on improving the lives of dogs, pet parents, and Petco partners across the United States, Mexico, and Puerto Rico. The company offers veterinarian treatment, grooming, training, tele-health, Vital treatment, pet health insurance, and veterinary services via Vetco mobile clinics. It also provides pet consumables, supplies, and services via the websites petco.com and petcoach.co, petinsurancequotes.com, and pupbox.com. The company sells its goods under the WholeHearted, Reddy, and Well & Good brands.

Cameron Breitner has been a member of Petco’s board of directors since 2016. Mr. Breitner has served as a Senior Adviser at CVC Capital Partners since February 2024. Previously he was a Managing Partner at CVC, having served as a senior executive at the firm from 2007 until February 2024, where he served as the head of CVC’s San Francisco office and shared responsibility for overseeing CVC’s North and South American Private Equity activities. Prior to joining CVC, Mr. Breitner was a Managing Director at Centre Partners, a private equity firm, where he worked from 1998 to 2007. Prior to Centre Partners, he worked in mergers and acquisitions at Bowles Hollowell Conner & Co. Mr. Breitner also serves on the board of directors of Advantage Solutions Inc., a leading business solutions provider to consumer goods manufacturers and retailers. Mr. Breitner received a bachelor’s degree in psychology from Duke University.

Opinion:

Name: Uber Technologies Inc
Position: 10% Owner
Transaction Date: 2023-05-21 Shares Bought: 25,037,036 Average Price Paid: $3.00 Cost: $74,999,997
Company: Aurora Innovation Inc. (AUR)

Aurora Innovation, Inc. was created in 2017 and is based in Pittsburgh, PA. The Aurora Driver is intended to serve as a platform for the adaptation and interoperability of a wide range of vehicle types and applications. The company has successfully incorporated the Aurora Driver into a variety of vehicle platforms designed to suit its needs, including passenger vehicles, light commercial vehicles, and Class 8 trucks. By developing a single-driver platform for a variety of vehicle types and use cases, they can consolidate and strengthen their competitive advantages in additional markets. For example, highway driving capabilities established for trucking will be used for highway segments driven by passenger vehicles in ride-hailing applications. The company believes this is the best method for bringing self-driving to market, allowing it to target and alter numerous major businesses including haulage, passenger mobility, and local goods delivery.

It is worth noting that Aurora bought Uber’s self-driving unit on December 7, 2020, to speed the development of Aurora’s self-driving technology, Aurora Driver. Since then, Uber has been a significant investor in AUR.  Uber Technologies, Inc. has invested significantly in Aurora Innovation, Inc., a company that specializes in computer-integrated systems design.

Opinion:

Name: Jeremy Andrus
Position: Chief Executive Officer
Transaction Date: 2023-05-21 Shares Bought: 228,323 Average Price Paid: $2.18 Cost: $497,447
Company: Traeger Inc. (COOK)

Cameron Breitner has been a member of the Petco board of directors since 2016. Mr. Breitner has been a Senior Adviser with CVC Capital Partners since February 2024. Previously, he was a Managing Partner at CVC, where he worked as a senior executive from 2007 until February 2024. He was the head of CVC’s San Francisco office and shared responsibility for CVC’s North and South American Private Equity activities. Before joining CVC, Mr. Breitner was a Managing Director at Centre Partners, a private equity firm, from 1998 to 2007. Prior to joining Centre Partners, he worked in mergers and acquisitions with Bowles Hollowell Conner & Co. Mr. Breitner also sits on the board of directors for Advantage Solutions Inc., a prominent provider of business solutions to consumer products producers and retailers. Mr. Breitner earned a bachelor’s degree in psychology from Duke University.

Jeremy Andrus has been CEO and board member since January 2014, and chairman since July 2021. Before joining the company, Mr. Andrus was the President and CEO of Skullcandy, Inc. Mr. Andrus received a B.S. in International Relations from Brigham Young University and an M.B.A. from Harvard Business School. Mr. Andrus’ perspective and experience as CEO, as well as his extensive knowledge of corporate strategy, brand leadership, general management procedures, and operational leadership, lead the company to feel he is qualified to serve on the board.

Opinion:

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Insiders sell the stock for many reasons, but they generally buy for just one – to make money. You’ve always heard the best information is inside information.  Everyone with any stock market experience pays close attention to what insiders are doing.  After all, who knows a business better than the people running it?  Officers, directors, and 10% owners are required to inform the public through a Form 4 Filing of any transaction, buy, sell, exercise, or any other within 48 hours of doing so. This info is available for free from the SEC’s Web site, Edgar, although we subscribe to SECForm4  as they provide a way to manage and make sense of the vast realms of data. I’ve tried a lot of vendors. SECForm4 is one of the smaller ones, but I like supporting Frank. He is not arrogant. He’s helpful and has great prices. He also trades on his own data, so I like people that eat what they kill.

The bar is different from selling because the natural state of management is to be a seller. This is because most companies provide significant amounts of management compensation packages as stock and options. Therefore, we analyze unusual patterns with selling, such as insiders selling 25 percent or more of their holdings or multiple insiders selling near 52-week lows. Another red flag is large planned sale programs that start without warning. Unfortunately, the public information disclosure requirements about these programs, referred to as Rule 10b5-1, are horrendously poor. Also, planned sales that pop up out of nowhere are basically sales and are seeking cover under this corporate welfare loophole. I also generally ignore 10 percent shareholders as they tend to be OPM (other people’s money) and perhaps not the smart money on which we are trying to read the tea leaves. I say generally because some 10% shareholders are great investors. Think Warren  Buffett and others

Of course, insiders can also be wrong about their Company’s prospects. Don’t let anyone fool you into believing they never make mistakes.  Do your own analysis. They can easily be wrong, and in many cases, maybe most cases, have no more idea what the future may hold than you or me. In short, you can lose money following them.  We have, and we curse aloud; what were they thinking!

We like Fly on the Wall for keeping up with what events might be happening, analysts’ comments, and whatever else could be moving the stock.  Dow Jones news service is an essential tool, but many services pick up their feed like they do Bloomberg. For quick financial analysis, it’s hard to beat Old School Value.

A big callout to my assistant Ambreen who sets up this conversation by listing the notable buys that I’ve identified.  She probes the 10k for a reasonable description of the business. I’ve found that to be the most accurate and succinct place to find out what a business actually does.

This blog is solely for educational purposes and the author’s own amusement.  Think of the blog as part of my personal investment journal that I am willing to share with the DIY investor.  There are also many parts that I am not willing to share if I think it could influence trading action or be detrimental to the Fund’s partners. We could be long, short, or have no position at all in any of the stocks mentioned and express no written or implied obligation to disclose any of that.

The Insiders Fund is for qualified investors and by Prospectus only. Nothing herein should be construed otherwise.  THE INSIDERS FUND prefers to invest in companies at or near prices that management has been willing to invest significant amounts of their own money in, but we have no requirement to do so. We also invest in many companies in anticipation of future insider buying or with the expectation that there is none at all.

You can be an insider, too– by clicking here

Prosperous Trading,