There are very few times when the stock market blatantly gives you the whole story about something. Instead, it’s up to us to dig for the story behind the numbers in order to give ourselves the best chance at profiting.
When I saw heavy insider buying for this stock, I knew it was time to get out my shovel, and this is why I’m very glad I did…
As an insider tracker, I constantly observe company insiders and watch for unusual activity. And when I find it, there is nearly always a hint that the insiders leave for us.
I just recently found a hint left by two insiders from Nuverra Envirnmental Solutions Inc. (NES).
Starting on September 4, company officers Joseph Crabb and Mark Johnsrud purchased more than 134,000 shares between the prices of $13.18 and $13.81. Those shares are estimated at a value of more than $1.8 million!
And it appears that another insider, a director, has also just decided to join the buying party…so what’s the reason for all this insider activity?
NES provides full-cycle environmental solutions to customers focused on the development and ongoing production of oil and natural gas from shale formations in the United States.
Well, it appears that the news surrounding NES is mixed. They recently released an interim report with some solid financial statistics, but that was coincided with news of a reduced offer for Thermo Fluids Inc., which NES had previously agreed to divest, from VeroLube USA Inc.
This latest news is consistent with NES’s past behavior, which I found after doing some research.
It appears that NES could be primed for a jump, but when you look at how it has lagged behind in a surging area of the market, it doesn’t give me much confidence in NES.
That information makes the purchases by company insiders all the more interesting.
Either they have learned a privileged piece of info about their company that nobody else know, and that will likely send the price of NES stock up, OR they simply view NES’s price as a bargain right now.
For now, I am waiting to see something change for NES, especially on its stock chart. If it does, I will be ready to make a move. If not, I’m not planning on wasting any money on it.
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