Franklin Myers, a director at HF Sinclair Corp (DINO), recently bought 5,000 shares. The buy increased his stake by 3%, and came to a total cost of $178,314.
Myers was a repeat buyer throughout 2024, with buys in the $105,000 to $373,000 range. In the past few months, the company CEO and CFO have also been buyers of shares around the same price. The last insider sales occurred in early 2024.
Overall, HF Sinclair insiders own 9.1% of shares.
The oil and gas refiner and marketer is down 37% over the past year, as low energy prices have led to a decline in earnings. Total revenues have also declined about 15% as well.
HF Sinclair now trades at about 14 times earnings, a slightly higher multiple than it has traded at over the past year. More importantly, shares have dropped to 0.7 times their book value, and 0.2 times its price to sales.
Action to take: HF Sinclair is certainly a bargain at today’s prices, but as long as the energy markets remain lackluster, that bargain is likely to continue. Shares are right near their 52-week lows, and could break lower, so interested investors may want to start building a position here and use further weakness to add to it.
At current prices, HF Sinclair also pays a handsome 5.8% dividend.
For traders, the June $30 puts, last trading for about $1.30, could see high double-digit returns if shares break lower in the short-term.
Disclosure: The author of this article has no position in the company mentioned here, but may to trade after the next 72 hours. The author receives no compensation from any company mentioned in this article.