Top Buys by Directors: Press's $2.1M Bet on ARI

The directors of a company tend to have a unique inside view into the business, so when directors make major buys, investors are wise to take notice. Presumably the only reason a director of a company would choose to take their hard-earned cash and use it to buy stock in the open market, is that they expect to make money — maybe they find the stock very undervalued, or maybe they see exciting progress within the company, or maybe both. So in this series we look at the largest insider buys by company directors over the trailing six month period, one of which was a total of $2.1M invested across 2 purchases by Eric Press, Director at Apollo Commercial Real Estate Finance Inc. (ARI).

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Press bets big on ARI:
Purchased Insider Title Shares Price/Share Value
03/03/2015 Eric Press Director 91,278 $17.36 $1,584,754.51
03/05/2015 Eric Press Director 30,000 $16.80 $503,931.00

Press's average cost works out to $17.22/share. In trading on Tuesday, bargain hunters could buy shares of Apollo Commercial Real Estate Finance Inc. ( ARI) and achieve a cost basis lower than Press, with shares changing hands as low as $16.87 per share. Shares of Apollo Commercial Real Estate Finance Inc. were changing hands at $17.07 at last check, trading up about 0.2% on Tuesday. The chart below shows the one year performance of ARI shares, versus its 200 day moving average:

Apollo Commercial Real Estate Finance Inc. Chart

Looking at the chart above, ARI's low point in its 52 week range is $15.62 per share, with $17.73 as the 52 week high point — that compares with a last trade of $17.07.

The current annualized dividend paid by Apollo Commercial Real Estate Finance Inc. is $1.76/share, currently paid in quarterly installments, and its most recent dividend has an upcoming ex-date of 06/26/2015. Below is a long-term dividend history chart for ARI, which can be of good help in judging whether the most recent dividend with approx. 10.3% annualized yield is likely to continue.

ARI+Dividend+History+Chart

According to the ETF Finder at ETF Channel, ARI makes up 2.07% of the SuperDividend U.S. ETF ( DIV) which is trading up by about 0.1% on the day Tuesday.

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