6 Energy Stocks With Big Insider Buying

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 |  Includes: APA, ATPAQ, EPM, HFC, PCG, SD
by: Rougemont

A major market correction has created much lower stock prices, and many insiders are taking advantage of this opportunity. The amount of insider buying has been surging in the last few weeks. When you see insiders buying at depressed prices, it often means the shares are oversold and offer great long-term value. The stocks below are in the energy sector and some have dropped with the price of oil. Long-term investors should consider this to be a great buying opportunity, especially when insiders commit their own cash to buy shares. I have provided links for each stock, which verifies the insider buying filed with the SEC below. Here are the stocks:

HollyFrontier Corporation (NYSE:HFC) is trading around $26.34. HollyFrontier is a petroleum refining company, based in Texas. These shares have traded in a range of $14.32 to $38.90 in the last 52 weeks. The 50-day moving average is $33.07 and the 200-day moving average is $29.63. HFC is estimated to earn about $6.40 per share in 2011, and $5.29 for 2012. This company pays a dividend of 35 cents per share, which yields about 1.3%. A director recently bought 10,000 shares which is a transaction value of over $250,000.
Sandridge Energy (NYSE:SD) is trading around $5.42. Sandridge is an independent oil and gas company, based in Oklahoma. These shares have traded in a range of $4.55 to $13.34 in the last 52 weeks. The 50-day moving average is $7.61 and the 200-day moving average is $9.49. SD is estimated to earn about 5 cents per share in 2011, and 37 cents for 2012. An officer recently bought 4,000 shares worth about $26,000.
Pacific Gas & Electric (NYSE:PCG) is trading at $41.41. PCG is a utility company and is based in California. These shares have traded in a range of $37.57 to $48.63 in the last 52 weeks. The 50-day moving average is $41.08 and the 200-day moving average is $43.01. PCG is estimated to earn about $3.52 per share in 2011 and $3.67 for 2012. The dividend is $1.82 per share, which is equivalent to a 4.3% yield. The CEO recently bought about 36,600 shares, which is worth well over $1 million.
Evolution Petroleum Corporation (NYSEMKT:EPM) are trading at $7.20. Evolution is an independent oil and gas company, based in Texas. These shares have traded in a range of $5.50 to $8.80 in the last 52 weeks. The 50-day moving average is $6.75 and the 200-day moving average is $7.21. Multiple insiders have been buying significantly and in the last few weeks over $1.5 million in stock has been purchased.
ATP Oil and Gas Corp. (ATPG) is trading at $6.58. ATPG is an independent oil and gas company, based in Texas. These shares have traded in a range of $5.71 to $21.40 in the last 52 weeks. The 50-day moving average is $11.25 and the 200-day moving is $15.63. Earnings estimates for ATPG are expected to go from a loss in 2011 to a profit of $1.49 per share in 2012. The higher revenue and profits for 2012 are due to higher production coming from oil wells in the Gulf of Mexico. Insiders have been buying significant amounts of ATPG stock in recent weeks. One director bought 139,500 shares with a value of nearly $1.5 million. This stock is heavily shorted and any good news could cause a major rally.
Apache Corporation (NYSE:APA) shares are trading at $78.82. APA is a oil and gas company, based in Texas. These shares have a 52-week range of $73.04 and $134.13. The 50-day moving average is $99.75, and the 200-day moving average is $116.57. Earnings estimates for APA are at $11.82 in 2011, and $12.63 in 2012. APA pays a dividend of 60 cents per share, which yields .7%. A director recently bought 4,000 shares, which is worth about $341,000.
Data sourced from Yahoo Finance and Insidercow.com. The information and data is believed to be accurate, but no guarantees or representations are made.

Disclosure: I am long ATPG.


Disclaimer: Rougemont is not a registered investment advisor and does not provide specific investment advice. The information contained herein is for informational purposes only.