Baytex Energy: 7 Different Insiders Have Purchased Shares During The Last 30 Days

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 |  About: Baytex Energy Corp. (BTE)
by: Markus Aarnio

Summary

Seven insiders purchased Baytex Energy stock within one month.

The stock was sold by no insiders in the month of intensive purchasing.

All seven of these insiders increased their holdings by more than 10%.

Baytex Energy Corp. (NYSE:BTE) engages in the acquisition, development, and production of crude oil and natural gas in the Western Canadian Sedimentary Basin and the Williston Basin in the United States.

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Insider buying during the last 30 days

Here is a table of Baytex Energy's insider activity during the last 30 days.

Name Title Trade Date Shares Purchased Prospectus Current Ownership Increase In Shares
John Brussa Director Feb 24 50,000 Yes 362,547 shares +16.0%
Edward Chwyl Director Feb 24 15,000 Yes 58,207 shares +34.7%
Geoffrey Darcy VP Feb 24 5,000 Yes 20,154 shares +33.0%
Naveen Dargan Director Feb 24 33,000 Yes 147,021 shares +28.9%
Ruston Goepel Director Feb 24 2,500 Yes 16,241 shares +18.2%
Cameron Hercus VP Feb 24 10,000 Yes 10,000 shares from 0 to 10,000
Mary Peters Director Feb 24 2,500 Yes 2,500 shares from 0 to 2,500
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There have been 118,000 shares purchased by insiders during the last 30 days. All these shares were purchased pursuant to a public offering.

Insider buying by calendar month

Here is a table of Baytex Energy's insider activity by calendar month.

Month Insider buying / shares Insider selling / shares
February 2014 118,000 0
January 2014 0 2,310
December 2013 5,298 0
November 2013 0 67,800
October 2013 0 4,374
September 2013 0 0
August 2013 0 0
July 2013 0 50,000
June 2013 86,500 0
May 2013 0 0
April 2013 0 0
March 2013 0 0
February 2013 1,091 25,000
January 2013 0 66,337
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There have been 210,889 shares purchased, and there have been 215,821 shares sold by insiders since January 2013. The month of February 2014 has seen the most insider buying.

Financials

Baytex Energy reported the full-year 2013 financial results on March 13 with the following highlights:

Revenue $1.4 billion
Funds from operations $604.4 million
Net income $164.8 million
Total debt $762.1 million
Production 57,196 boe/d
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Outlook

Baytex Energy's 2014 guidance is as follows:

Production 60,000-62,000 boe/d
E&D capital expenditures $485 million
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Competition

Baytex Energy's competitors include Canadian Natural Resources (NYSE:CNQ) and EnCana Corporation (NYSE:ECA). Here is a table comparing these companies.

Company BTE CNQ ECA
Market Cap: 4.88B 39.62B 15.24B
Employees: 251 N/A 3,303
Qtrly Rev Growth (yoy): 0.10 0.07 -0.11
Revenue: 1.14B 16.45B 5.86B
Gross Margin: 0.61 0.54 0.50
EBITDA: 578.62M 8.27B 2.60B
Operating Margin: 0.22 0.19 0.17
Net Income: 168.00M 2.31B 236.00M
EPS: 1.35 2.12 0.32
P/E: 29.00 17.15 64.19
PEG (5 yr expected): 0.47 0.64 1.88
P/S: 4.27 2.39 2.58
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Baytex Energy has the fastest revenue growth among these three companies.

Here is a table of these competitors' insider activities this year.

Company Insider buying / shares Insider selling / shares
CNQ 400,810 811,750
ECA 10,000 0
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Only Baytex Energy has seen intensive insider buying during the last 30 days.

Conclusion

There have been seven different insiders buying Baytex Energy, and there have not been any insiders selling Baytex Energy during the last 30 days. All seven of these insiders increased their holdings by more than 10%. Baytex Energy has an insider ownership of 2%.

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(Source: Investor presentation)

The seven insiders purchased their shares at $35.05 (C$38.90). I believe Baytex Energy could be a good pick below $35 based on the intensive insider buying.

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(Source: Investor presentation)

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.