Timothy Go, President and CEO of Sinclair Corp (DINO), recently bought 2,500 shares. The buy increased his stake by 1%, and came to a total cost of $99,923.
The buy comes a few days after a company director bought 5,000 shares, paying $193,775. Going back over the past two years, there has been a mix of insider buys and sells, with sellers generally having the upper hand. However, most of those sales occurred over $50 per share.
Overall, Sinclair insiders own 8.9% of shares.
The oil and gas refiner is down over 22% in the past year, amid weak demand for fossil fuels. Revenues dropped 20% overall, and earnings growth has been negative, but Sinclair has been able to eke out a 1% profit margin.
Sinclair shares look like a value play today, with the stock trading at 11 times earnings and with energy companies out of favor with the market. Oil prices have stabilized around $70 per barrel, and the energy sector as a whole looks oversold after being a significant underperformer this year.
Action to take: Investors may like shares here, as the stock has recently started to move off its 52-week low. Plus, at current prices, Sinclair also pays a 4.8% dividend.
For traders, the March 2025 $45 calls, last trading for about $2.25, could see mid-double-digit returns if the uptrend underway continues higher in the months ahead. Traders may want to take profits if the option moves in-the-money.
Disclosure: The author of this article has no position in the company mentioned here, but may trade after the next 72 hours. The author receives no compensation from any company mentioned in this article.