With all the talk on TV and online about a potential market top, you can't really argue with executives and directors who think it's a good idea to cash in a few of their chips. That's what Pinnacle Financial Partners Chief Administrative Officer Hugh Queener and LifePoint Hospitals directors John Maupin and Marguerite Kondracke did this week. Queener sold more than $310,000 worth of his Pinnacle stock on Tuesday, a day before spending $175,000 to exercise a bunch of options that would have expired next month. Maupin and Kondracke, meanwhile, each pocketed more than $100,000 by selling 2,000 of their LifePoint shares. They both still own more than 20,000 shares of the Brentwood-based company.
Two senior officers of hospital giant HCA last week booked giant profits of more than $9 million on the exercising of some of their stock options. National Group President Chuck Hall, pictured here, accounted for the lion's share of that number. He exercised more than 185,000 options that would have expired between January 2015 and early 2017 and then sold the resulting shares for almost 10 times what the exercises cost him. His profits on the transactions topped $8.3 million. Treasurer David Anderson, meanwhile, exercised 30,000 options and sold the resulting shares for a gain of $1.1 million.
HCA shares (Ticker: HCA) were up almost 2 percent to $50.50 in early Wednesday trading and have climbed more than 10 percent in the past three months.
Tractor Supply executives took some profits off the table to finish 2013. On New Year's Eve, a trading plan for Executive Chairman Jim Wright sold about 35,000 shares, grossing more than $2.7 million. (Wright before Christmas also sold $2.9 million worth of stock.) On the same day, lead director Cynthia Jamison exercised 8,000 stock options she was granted in 2007 and then sold the resulting shares. Her profit on the transactions was more than $490,000.
It's been another bumper year for Tractor Supply shareholders — the stock (Ticker: TSCO) is up more than 70 percent in 2013 and more than 700 percent in five years — and three of the people who have helped make it happen last week booked more than $6 million of their paper gains.
Foremost among them is former CEO Jim Wright, who on Wednesday sold almost $2.9 million worth of shares — in addition to donating about $2 million to an unnamed charitable organization — but who still owns more than $20 million of Tractor Supply, either directly or indirectly. Two days later, a stock trading plan set up in November by CFO Tony Crudele exercised 30,000 options granted to him in 2011 and 2012 and then sold the resulting shares for a profit of almost $1.9 million. Similarly, Chief People Officer Kim Vella exercised and then sold almost 30,000 options through a trading plan to book a gain of more than $1.3 million.
Genesco CFO Jim Gulmi on Monday reaped some of the rewards of another good year for Genesco shares by exercising more than 15,000 stock options granted him in 2008 and then selling the resulting shares. The transactions netted Gulmi a little more than $700,000. Gulmi's move comes a week after a trading plan set up by Chairman, President and CEO Bob Dennis unloaded more than $500,000 worth of shares. Genesco (Ticker: GCO) has climbed more than 30 percent in 2013.
A stock trading plan set up last year by Genesco Chairman, President and CEO Bob Dennis last week unloaded $550,000 worth of his stock, trimming his holdings in the company by about 3 percent. The sale came shortly after Genesco reported so-so third-quarter numbers. The company's stock (Ticker: GCO) has run up about 14 percent in the past three months and has climbed almost 30 percent year to date.
Jeremy Ford, chairman of the board at local auto insurer First Acceptance, let his wallet do some talking late last week, spending almost $480,000 to add more than 250,000 shares to his holdings. The move boosted his direct stake in the Green Hills-based company by 12 percent to 2.3 million shares. Through his family's ownership of several other entities, Ford also is deemed to be the beneficial owner of about half of First Acceptance. The thinly traded shares of the company (Ticker: FAC) are up more than 40 percent this year but are still down 40 percent since late 2008.
LifePoint Hospitals Chairman and CEO Bill Carpenter last week cashed in some of his long-term incentive compensation, exercising 40,000 stock options that would have expired next February and selling the resulting shares. His profit on the transactions topped $725,000. The move comes after LifePoint shares (Ticker: LPNT) rallied nicely in the second half of October. They're now up about 35 percent this year.
Over at HealthStream, Senior VP Ed Pearson made a similar move late last week. His trading plan exercised 7,000 of his options and then sold the shares. Pearson's take on the deal was about $210,000. HealthStream (Ticker: HSTM) has yielded some ground of late but is still up almost 40 percent in 2013.
Clarcor board member (and former Vanderbilt Owen School of Graduate Management dean) Jim Bradford last Thursday cashed in a number of the stock options granted him between 2006 and 2010. The strike prices for the almost 39,000 options ranged between $25 and $35; selling the shares that resulted from their exercising generated Bradford a profit of more than $920,000. Since bottoming out at about $23 in early 2009, Clarcor shares (Ticker: CLC) have risen almost 150 percent.
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