Snatch This Bargain Energy Stock With 9.7% Yield Even Cheaper Than Chief Financial Officer Deere Did


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There's an old saying on Wall Street about insider buying: there are many possible reasons to sell a stock, but only one reason to buy. Back on June 13, Genesis Energy L.P.'s Chief Financial Officer, Robert V. Deere, invested $1,031,560.00 into 34,000 shares of GEL, for a cost per share of $30.34. Bargain hunters tend to pay particular attention to insider buys like this one, because presumably the only reason an insider would take their hard-earned cash and use it to buy stock of their company in the open market, is that they expect to make money. In trading on Monday, bargain hunters could buy shares of Genesis Energy L.P. (Symbol: GEL) and achieve a cost basis 2.0% cheaper than Deere, with shares changing hands as low as $29.74 per share. Genesis Energy L.P. shares are currently trading up about 0.5% on the day. The chart below shows the one year performance of GEL shares, versus its 200 day moving average:

Genesis Energy L.P. Chart

Looking at the chart above, GEL's low point in its 52 week range is $28.75 per share, with $40.90 as the 52 week high point - that compares with a last trade of $29.91. By comparison, below is a table showing the prices at which GEL insider buying was recorded over the last six months:

Purchased Insider Title Shares Price/Share Value
06/13/2017 Robert V. Deere Chief Financial Officer 34,000 $30.34 $1,031,560.00

The current annualized dividend paid by Genesis Energy L.P. is $2.88/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 04/26/2017. Below is a long-term dividend history chart for GEL, which can be of good help in judging whether the most recent dividend with approx. 9.7% annualized yield is likely to continue.

GEL+Dividend+History+Chart

GEL makes up 3.53% of the Zacks MLP High Income Index Shares ETF (Symbol: ZMLP)

Click here to find out which 9 other energy stock bargains you can buy cheaper than insiders »

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.



This article appears in: Investing , Commodities
Referenced Symbols: GEL , ZMLP


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