Douglas Elliman executives went on a stock-buying spree this week after the firm’s share price dipped dangerously close to $1.
Company leaders purchased a combined 640,000 shares ranging from $1.07 and $1.20 per unit, according to filings with the Securities and Exchange Commission.
The buyers include chairman Howard Lorber, chief operating officer Richard Lampen, and directors Mark Zeitchick and Michael Liebowitz.
The purchases come as the firm is gearing up to announce its second quarter earnings results, following seven consecutive periods of net losses. The firm’s market capitalization is now around $111 million — a significant decline from the $900 million when it spun off from parent company Vector Group in 2021.
Elliman’s share price has hovered under $2 since mid-March, and the executives’ buys appear to have only had a marginal impact on the company’s stock. At the close on Thursday, its share price was $1.22, up 13 percent over the last five days and 11 percent over the last month.
Lampen kicked off the spending on Tuesday, when he bought 155,000 of on-market shares worth about $169,000, according to media and market intelligence company Benzinga. His stock buy marked the largest purchase by a company insider in the last three months and the first from the COO since late November, according to stock analysis platform Simply Wall Street.
Lorber followed suit on Wednesday, scooping up 100,000 shares worth about $115,000. The chairman last picked up shares in August, when he bought 50,000 stock units worth about $105,000.
Whether the stock purchases are part of a larger strategy to boost the company’s performance on the market remains unclear. A spokesperson for Elliman said that “executives continuing to buy stocks reflects their strong belief that the company is uniquely positioned for long term growth and value creation.”
Earlier this month, Elliman snagged a $50 million cash infusion from asset manager Kennedy Lewis. The loan is earmarked for funding the firm’s “strategic growth and expansion,” according to a press release.
At the time of the announcement, the company also said it expected some of its second quarter earnings metrics to outperform previous periods.
Elliman estimated its gross transaction value, before auditing, to fall between $10.25 billion and $11.25 billion, up from the numbers it reported last quarter and in the same three-month span last year.
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