Every investor – from the most experienced legends of Wall Street to the most amateur of retail traders – keeps a close eye on the market, looking for some sign or signal to indicate just the right trades.
Following the corporate insiders is one way to find an advantage. These are the company officers whose positions put them ‘in-the-know’ on their companies’ inner workings.
That knowledge gives these bigwigs an inside track when it comes to trading their own stocks – and to keep the trading floor fair, governmental regulators require insiders to publish their trades in a timely manner, as a way of avoiding their having an undue advantage.
Investors can follow those trades on TipRanks, using the Insiders’ Hot Stocks tool. We’ve done a bit of searching to get the story started, and found two stocks that are both Strong Buys, according to the analyst community, and are also showing million-dollar insider trades.
Energy Transfer (ET)
We’ll start with a high-yield dividend stock in the energy midstream segment. By any measure – market cap, size of network, amount of product moved – Energy Transfer is one of the largest midstream companies operating in the US. The company boasts one of the continent’s largest arrays of pipelines and other transport assets, in a network running from the Mid-Atlantic coast to the Great Lakes into the Mississippi Valley and on down to the company’s main area of operations, Texas-Oklahoma-Arkansas-Louisiana and along the Gulf Coast into Florida, including offshore pipelines from Louisiana.
Energy Transfer has benefited from rising prices for oil and gas, and the company’s 1Q22 revenue came to $20.49 billion, the highest in the past two years, up 20.5% year-over-year, and the third quarter in a row to show a sequential gain. Earnings gave a mixed story; the diluted EPS of 37 cents beat the 30-cent forecast but came in far below the $1.21 recorded in the year-ago quarter.
This calendar year also marks ET’s first year operating after completing its acquisition of Enable Midstream. That move, worth approximately $7.2…