Apmh Invest, a major holder of Noble Corp (NE), recently bought 1,330,000 shares. The buy increased the fund’s position by 5%, and came to a total cost of $46,104,795.
The fund was the last buyer with a 638,018 share pickup in July, increasing their position by 2%, at a cost of just over $28.9 million. The company CFO was also a buyer of nearly $100,000 back in March.
Overall, Noble Corp insiders own 19.8% of shares.
The oil and gas drilling company is down 27% over the past year. Weak energy prices and a lack of new major development projects have kept a lid on shares. Noble has seen earnings growth slide by 61%, although overall revenues are up 14%.
Fundamentally, Noble is still in strong shape, with a reasonable debt level and with shares trading at about 13 times earnings.
Action to take: Shares have started to trend higher, following the stock hitting a 52-week low last month. If the trend continues, shares could see low double-digit returns over the coming months.
Plus, at current prices, Noble pays a 5.7% dividend, which is well covered by the company’s earnings.
For traders, the March 2025 $40 calls, last trading for about $1.60, could see high double-digit returns over the coming weeks on a further rally higher in shares. Traders may want to take quick 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.