Trading Ideas of the Day

4 Service Stocks Get Boost from Insiders
Specialty: STOCKS
Published: 10/5/2012
By Staff of Kapitall.com
Tickers mentioned: STEI, CBRL, BLDR, GPX

The staff of Kapitall.com have screened for stocks getting heavy boost from company insiders.

Do you like to trade with the buying trends of insider investors? We ran a screen with that idea in mind.

We began by screening the services sector for stocks with strong upward momentum, trading within 10% of their 52-week high.

We then screened these names for those with the confidence of their company insiders, such as members of the board and upper management, with significant net insider purchases over the last six months representing at least 2% of share float. Since most companies only have a handful of company insiders, net insider purchases representing 2% of share float is a big show of confidence in their employer's prospects.

Analyst ratings sourced from Zacks Investment Research.

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Do you think these names will soon trade above their 52-week highs? Use this list as a starting point for your own analysis.

List Average 1-Year Return: 129%.

1. Stewart Enterprises Inc. (STEI): Provides funeral and cemetery products and services in the death care industry in the United States and Puerto Rico. Market cap at $717.19M, most recent closing price at $8.40. Over the last six months, insiders were net buyers of 871,700 shares, which represents about 1.39% of the company's 62.57M share float. The stock is currently trading at its 52-week high.

2. Cracker Barrel Old Country Store, Inc. (CBRL): Engages in the operation and development of the Cracker Barrel Old Country Store restaurant and retail concepts in the United States. Market cap at $1.58B, most recent closing price at $67.11. Over the last six months, insiders were net buyers of 1,279,457 shares, which represents about 6.97% of the company's 18.36M share float. The stock is currently trading 2.22% below its 52-week high.

3. Builders FirstSource, Inc. (BLDR): Engages in the manufacture and supply of structural and related building products for residential new construction primarily in the southern and eastern United States. Market cap at $501.87M, most recent closing price at $5.19. Over the last six months, insiders were net buyers of 504,816 shares, which represents about 1.71% of the company's 29.44M share float. The stock is currently trading 5.46% below its 52-week high.

4. GP Strategies Corp. (GPX): Provides customized training solutions focused on performance improvement initiatives, as well as consulting, engineering, and technical services in the United States, the United Kingdom, and internationally. Market cap at $365.92M, most recent closing price at $19.32. Over the last six months, insiders were net buyers of 176,093 shares, which represents about 1.34% of the company's 13.10M share float. The stock is currently trading 6.33% below its 52-week high.

Insider data sourced from Yahoo! Finance, all other data sourced from Finivz.

Find more trading ideas like this at Kapitall.com.

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