Aaron’s Company Sees a Cluster Buying Amidst a Dip in Price

The Aaron's Company Inc (AAN:US) operates in the lease-to-own sector through its Aaron's Business and BrandsMart segments, providing consumers with furniture, appliances, electronics, and other home essentials. The company blends traditional retail with e-commerce on aarons.com and brandsmartusa.com, serving a broad market in the U.S. and Canada.

Financially, it holds a market cap of approximately $269.3 million and its stock price stood at $8.88 as of November 17, 2023. 

Cluster Buying Post Price Dunk

Five company members of Aaron’s stocked up from November 10 to 14. In this period of five days, the insiders had invested a net total of $788,420 in AAN stock:

• Independent Director Timothy A. Johnson bought 20,000 shares.

• CEO Douglas A. Lindsay bought 50,000 shares.

• General Counsel, Rachel G. George purchased 7,500 shares.

• Director Wangdali Bacdayan added 20,000 shares to his holding.

• Controller/Comptroller, Douglass L. Noe bought 10,000 shares.

Looking at the price charts, AAN stock has been on a decline. Year-to-date, the stock is down by 23.71%. Despite this downward trajectory, AAN stock climbed up by 16.65% in the past five days. 

Third Quarter Results & Dividend Payment

Less than a month ago, Aaron’s ended the last leg of October with its third quarter results. Despite a decline in revenues - 11.4% lower year-on-year - the company also reported a decline in net loss for the quarter. On a more positive note, the company’s dividends declared rose by 10.6% year-on-year. In its last announcement on November 8, the company declared its 

Lindsay, the company CEO, said in the report, “During the quarter, we opened three Aaron's stores in new markets and our first new BrandsMart store since acquiring the business, and we remain focused on positioning both businesses for growth."

CEO Lindsay has been an integral part of Aaron’s for years, having overseen retail operations, products, and merchandising, among others. His purchase of AAN stock, while accompanied by other crucial members of the company can be observed as a bullish development.