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In this article, I will feature one pipeline company that has seen intensive insider buying during the last 30 days. Intensive insider buying can be defined by the following three criteria:

  1. The stock is purchased by three or more insiders within one month.
  2. The stock is sold by no insiders in the month of intensive purchasing.
  3. At least two purchasers increase their holdings by more than 10%.

Pembina Pipeline Corporation (NYSE:PBA) provides transportation and midstream services for the energy industry in North America.

(click to enlarge)

Insider buying during the last 30 days

Here is a table of Pembina Pipeline's insider-trading activity during the last 30 days by insider.

NameTitleTrade DateShares PurchasedOwnership PlanCurrent OwnershipIncrease In Shares
Michael DilgerCOOOct 815,000No125,000 shares+13.6%
Eric DyckVPNov 725Yes5,430 shares+0.5%
Allan EdgeworthDirectorNov 7186Yes42,711 shares+0.4%
Jennifer HarkerOfficerNov 5211No211 sharesfrom 0 to 211
Jason WiunVPNov 6550No965 shares+132.5%

There have been 15,972 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of Pembina Pipeline's insider-trading activity by calendar month.

MonthInsider buying / sharesInsider selling / shares
November 20139720
October 201330,833550
September 201300
August 201300
July 201386,5000
June 201300
May 20133700
April 201300
March 201384,3120

There have been 202,987 shares purchased and there have been 550 shares sold by insiders since March 1.

Financials

Pembina Pipeline reported the third-quarter financial results on November 1 with the following highlights:

Revenue$1.3 billion
Net income$71.8 million
Net debt$2.0 billion

Outlook

Pembina currently has the largest suite of commercially secured and unrisked growth projects on its horizon than at any time in its history.

(click to enlarge)

(Source: Corporate presentation)

Competition

Pembina Pipeline's competitors include Inter Pipeline (OTCPK:IPPLF), and TransCanada Corporation (NYSE:TRP). Here is a table comparing these companies.

CompanyPBAIPPLFTRP
P/E34.5N/A21.2
Dividend yield4.9%4.9%3.9%

Here is a table of these competitors' insider-trading activities during the last six months.

CompanyInsider buying / sharesInsider selling / shares
IPPLF37,5620
TRP7,76298,383

Only Pembina Pipeline has seen intensive insider buying during the past 30 days.

Conclusion

There have been five different insiders buying Pembina and there have not been any insiders selling Pembina during the last 30 days. Three of these five insiders increased their holdings by more than 10%.

There are three analyst buy ratings, one neutral rating, and zero sell ratings with an average price target of $36.67. The stock is trading at a P/E ratio of 34.50 and a forward P/E ratio of 27.76. The company has a book value of $15.42 per share and the stock has a dividend yield of 4.93%. The 200-day moving average is currently at $30.76, which could be a good entry point for the stock.

(click to enlarge)

(Source: Corporate presentation)

Source: Insiders Are Buying Pembina Pipeline