Corporate insiders tend to have superior knowledge of their firms’ operating, financing, and investing activities. If they are buying company stock, it’s often worth taking a closer look.
In this report, we are going to highlight some interesting insider buying at Camping World Holdings Inc (CWH:US). Camping World Holdings is a leading American outdoor and camping retailer that specializes in selling recreational vehicles (RVs), RV parts and accessories, and RV services. It also sells camping accessories. The company is listed on the New York Stock Exchange and currently has a market capitalization of $2.1 billion.
Camping World Holdings Inc: Insider Buying
Our insider transaction data shows that on June 10, Chairman and CEO Marcus Lemonis purchased 38,350 shares at a price of $26.36 per share. This trade cost the insider approximately $1.0 million and increased his holding to 993,718 shares.
This trade got our attention for two main reasons. Firstly, Mr. Lemonis is a top-level insider. He has served as Chairman and CEO since the company’s formation in 2006 and has extensive experience in retail, RV and automotive, and business operations. This means that he is likely to have an intimate understanding of the company and its prospects.
Secondly, Mr. Lemonis has made a substantial purchase here. Our records show that this trade represents the largest purchase from the insider in over three years. This suggests he sees considerable value at current levels.
Camping World Holdings has announced several major deals recently.
On May 23, the company announced that it had agreed to acquire Richardson’s RV Centers. This deal – the largest in its history – includes eight locations in California and Indiana and will strengthen its position as the number one RV dealer in California.
Then, on May 31, the group announced plans for its continued expansion of its RV sales and service network through the completion of 11 new dealership locations, in seven states, by the end of 2022. The company said that this deal would support the soon-to-be-launched RVs.com digital offering, by increasing the number of locations offering service, maintenance, and parts.
The large purchase from Mr. Lemonis here suggests that he is confident these deals will boost growth. We see this insider trade as a bullish indicator.