After plunging to a low of $3.82 per share after fourth quarter earnings were released, shares of Capital Senior Living are showing some bounce. We are sure the market has noticed that the C-Suite has been buying. The price is now up 26% in less than a week.
Timing is everything, and the CEO added to her holdings with the purchase of 10,000 shares at $3.954 on March 7 and the CFO 5,135 shares at $3.886 the next day. Even two directors added to their holdings at the same time. I guess they all thought enough was enough. Investors always want to see insiders making purchases, especially on the price downturn, which demonstrates confidence in future performance.
Activist investor Cove Street Capital also got in the mix, increasing its holdings from 8.3% of outstanding shares early this year to 10.42% as of March 12. They continue to talk with the Board about adding new Board members. It certainly looks like no one could live with that low value, and they are putting their money where their mouth is.
