CFO buying at Valeant Pharmaceuticals

Ad blocking detected

Thank you for visiting We have detected you cannot see ads being served on our site due to blocking. Unfortunately, due to the high cost of data, we cannot serve the requested page without the accompanied ads.

If you have installed ad-blocking software, please disable it (sometimes a complete uninstall is necessary). Private browsing Firefox users should be able to disable tracking protection while visiting our website. Visit Mozilla support for more information. If you do not believe you have any ad-blocking software on your browser, you may want to try another browser, computer or internet service provider. Alternatively, you may consider the following if you want an ad-free experience.

Canadian Insider Ultra Club
$500/ year*
Daily Morning INK newsletter
+3 months archive
Canadian Market INK weekly newsletter
+3 months archive
30 publication downloads per month from the PDF store
Top 20 Gold, Top 30 Energy, Top 40 Stock downloads from the PDF store
All benefits of basic registration
No 3rd party display ads

* Price is subject to applicable taxes.

Paid subscriptions and memberships are auto-renewing unless cancelled (easily done via the Account Settings Membership Status page after logging in). Once cancelled, a subscription or membership will terminate at the end of the current term.

August 6, 2015 - Today we look in on Valeant Pharmaceuticals (VRX) which we last featured in our morning report on April 1st. On the day, the stock closed at $249.15. Since then, it has advanced 39% to close at $346.32 (and setting a new 52-week high of $347.62) on August 5th.

Valeant Pharmaceuticals has caught our interest again because their new CFO has been spotted buying recently. Mr. Robert Rosiello was appointed as CFO this summer on July 1st. Although the terms of his compensation are not yet disclosed, we suspect that he like other executives at the firm is required to hold shares in the company. Mr. Rosiello does not appear to be wasting any time putting in buy orders. 

In terms of financial results, on July 23rd Valeant reported Q2 revenue of US$2.73 billion, up from US$2.04 billion in Q2 2014. They recorded a diluted loss of US$0.15 per share versus earnings of US$0.37 per share in the comparable period. They report a Q2 2015 non-GAAP cash EPS, however, of US$2.56. Management revised their guidance for 2015 total revenue to between US$10.7 billion and US$11.1 billion, up from previously estimated US$10.4 billion to US$10.6 billion. Guidance for total 2015 cash EPS was adjusted to between US$11.50 and US$11.80 per share, up from previously estimated US$10.90 to US$11.20.

A big factor behind Valeant's growth has been acquisitions. Its most recent deal was announced July 17th when the firm said it will acquire Middle East and North Africa focused Amoun Pharmaceutical for US$800 million plus contingent payments.

Valeant Pharmaceuticals (VRX) Equity Filing Overview Chart

From July 30th to July 31st, Valeant Pharmaceuticals (VRX) Executive Vice President and CFO Robert Rosiello acquired a total of 7,875 common shares on a direct ownership basis at an average price of US$254.28.

Valeant Pharmaceuticals has above median ownership (direct & indirect holdings) by Officers and Directors compared to other large-cap stocks in the market according to SEDI filings as of August 4th, 2015.

Valeant Pharmaceuticals currently holds a sunny INK Edge outlook on the equally weighted V.I.P. criteria of valuations, insider commitment and price momentum which places it in the top 10% of all stocks ranked. INK outlook categories are designed to identify groups of stocks that have the potential to out- or under-perform the market. However, any individual stock could surprise on the up or downside. As such, outlook categories are not meant to be stock-specific recommendations.

Despite its strong performance, and being the largest stock on the TSX, VRX is not a member of our INK Canadian Insider (CIN) Index or the July INK Edge Top 40 largely due to relatively high valuations. 


An earlier version of this article appeared in the INK Research morning report for subscribers before the market open on August 6, 2015. 


Best Nike Sneakers | Nike

Join the discussion in INK Chat!