Alvin Libin, a major owner at
Riley Exploration Permian (REPX), recently added 23,755 shares. The buy increased his stake by 1.2 percent, and came to a total cost just over $641,000.
That’s just one of five buys made by the insider in the past few weeks. Other buys have been in the 5,377 to 9,593 share range. In total, this insider has bought over $1.2 million in shares in the past few weeks. In the past three years, insider buying has handily beat insider selling.
Overall, insiders own 41 percent of the company.
Shares of the company are up about 5 percent in the past year, although they have been trending down in recent weeks. While not profitable, revenues have soared 110 percent in the past year on rising oil prices.
Action to take: REPX shares trade at just under 4 times forward earnings, inexpensive for a commodity-based company. And shares yield almost 5 percent here, so patient traders can start buying now, and potentially get more shares at a lower price on any market fears in the coming months.
For traders, shares look oversold after their drop of the past few weeks. The March 2023 $30 calls, last going for about $4.50, offer mid-double-digit returns on a bounce higher in shares.
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 of the companies mentioned in this article.