3 Strong purchases Domestic stocks are looted
President John F. Kennedy once said, “The rising tide is lifting all the boats,” and it’s true in the stock markets. We are currently in the midst of just such a tide – at least in the short term. Major indexes, the Dow, S&P and NASDAQ, rose between 9% and 1
2.5% this month and the trends are positive. The recent elections, which clarified the prospect of a divided government that is unlikely to undergo radical changes in economic policy, and the positive news about the COVID-19 vaccine have improved investor sentiment. And not just investors. Corporate insiders also buy shares as a sign of confidence, which should attract the attention of investors. These insiders are not just buyers when it comes to stocks – they are also trustees. Insiders are corporate employees and board members responsible for maintaining the profitability of their companies and the shares of their companies for the benefit of shareholders. In addition, their positions give them access to information that is not always available to the general public. In short, tracking corporate insiders is a viable path to profitable stock movements. To facilitate this search, TipRanks Insiders’ HotStits tool is launching the step of identifying stocks that have seen informative moves by insiders, highlighting several commonly used insider strategies and gathering data in one place. Fresh from this database, here are details of three Strong Purchase stocks showing “informative purchases” in recent days. Hanesbrands (HBI) Hanesbrands is undoubtedly the one you are familiar with. Hanes is a clothing manufacturer specializing in lingerie, whose brands include Hanes, Playtex, L’eggs, Champion and many others. The company’s clothing is somewhat ubiquitous, reflecting their need, and these modest products brought in more than $ 7 billion in revenue last year. This year, Hannes, like much of the retail world, took a hit in the first quarter when the crown pandemic forced a general economic halt. But the company recovered quickly and third-quarter revenue of $ 1.81 billion was the highest in four quarters. Profits show a more mixed picture; Q2 EPS reached an excellent 60 cents, while Q3 showed a decline of 30% to 42 cents. However, this decline still left third-quarter profits in line with previous years. The income statement, with its combination of exceeding the forecast as it fell during the year, pushed shares in recent sessions. However, HBI has clearly recovered after hitting the bottom of the “crown recession”. The shares are with ~ 90% of their lowest point this year. In addition to the attraction, Hanes maintains its regular dividend per share, maintaining the payment of 15 cents per ordinary share throughout 2020. This dividend now yields above an average of 4.6%. On the inside, two deals, both by Ronald Nelson of the Board of Directors, have thrown the mood needle at Hannes in positive territory. Over the past five days, Nelson has bought shares worth more than $ 1 million in two tranches, one of 50,000 shares and the other of 30,000. Covering Hanesbrands for Raymond James, analyst Matthew McClintock notes the company’s strong current position. “We believe that HBI’s results for 3Q20 signal continued profits from market share in its core categories, driven by the company’s inherent competitive advantages in terms of scale, strong brands and domestic supply chain,” said the 5-star analyst. McClintock also believes the company is demonstrating its ability to adapt to the coronavirus scene: “HBI’s protective clothing business is expected to slow down significantly. This recently developed pandemic business line generated $ 179 million in revenue in 3Q20 (reflecting 10% of revenue) – surpassing HBI’s previous 2H20 outlook of $ 150 million. “McClintock estimates HBI is a strong buy, and its $ 16 price tag suggests it is 22% up from current levels. McClintock, click here) Other analysts are on the same page With 4 purchases and 1 retention received in the last three months, the word on the street is that HBI is a strong buy. (See analysis of HBI shares on TipRanks) Dun & Bradstreet Holdings (DNB) T next action is a newcomer to the markets.Dun & Bradstreet is a data analysis company with a focus on business needs and services.The company, often known as D&B, offers data services in risk and finance, operations and supplies, sales and marketing, and research and insights. D&B has a global reach and held an IPO last summer, 171 years after its founding. This IPO raised an impressive $ 1.7 billion in new capital – and sold more shares than expected at a higher price than expected. After initially valuing 65.75 million shares at $ 19 to $ 21 each, the company’s IPO sold 78.3 million shares in June at a price per share of up to $ 22. Since then, the stock has grown by ~ 30%. Revenues are also strong. For the third quarter calendar, the company’s first in public trading, the top line reached $ 442 million, its highest level in more than a year. All this can explain the strongly positive moods of the inner man. Two major purchases in the last week are flashing signals for investors. Brian Hipscher, chief financial officer, bought more than $ 105,000, while CEO Anthony Jabber spent $ 999,780 on a 38,000-share stake. The two sales together amounted to over $ 1.1 million. RBC analyst Seth Webber, rated 5 stars by TipRanks, is up for DNB. He values the shares that outperform (ie buy), along with a price price of $ 31. (To view Weber’s record, click here) In his comments, Weber says: “We see D&B’s ongoing transformation as intact, supporting more consistent turnover growth, margin expansion and better cash generation … On the technological side, cloud-based Analytics Studio is growing and initial functionality from Project Ascent is expected in 4Q20 (improved data absorption, reduced latency); the company continues to add new / alternative data sources and coverage. “D&B shares are currently trading at $ 27.40, and its target for an average price of $ 31.67 is slightly bullish than Weber’s, which means a 15% increase next year. The analyst consensus assessment, a strong purchase, is based on unanimous feedback on 3 purchases. (See TipRanks DNB stock analysis) Assurant (AIZ) Last but not least is Assurant, a niche player in the insurance industry. Assurant provides insurance products and solutions for a variety of needs, including related devices, vehicles, rental units, funerals and consumer goods. Some are traditional insurance products (vehicles come to mind here), while others are good examples of a company noticing an unmet need – and moving to fill it (connected devices and rental units). Assurant’s stocks and fiscal results this year are stable. The shares recovered completely from the impact of COVID and now show a real, albeit modest, profit for the year to 5.5%. In the upper limit, revenues remain stable between $ 2.4 billion and $ 2.6 billion over the past 12 months; Q3’s $ 2.5 billion number is in the middle of that range. The only dark spot is EPS, which fell in Q3 to $ 1.41, a consistent decline of 48%. The decline did not bother Braxton Carter, a member of the company’s board. Carter bought a 1950 block of stock on Nov. 6, paying more than $ 249,000. Covering Truist’s stock, 5-star analyst Mark Hughes points to the company’s strength in the undervalued rental market. “The company has renewed 85% of its customers in the United States as lenders since the beginning of last year. They still do not see an increase in placement from the increase in mortgage arrears, but suggest that there may be additional volume in 2021, depending on the state of the housing market. The acceleration in income growth of many families, up to 9% in the third quarter, is due in part to momentum with the property management product Cover360, “said Hughes. According to analysts, “Assurant has been successful in operating in parts of the insurance industry that are much less traveled than most – especially in the controversial and volatile, but very profitable, homeowners insurance market.” To this end, Hughes assesses AIZ for purchase, along with a price tag of $ 150. This figure suggests an increase of 10% over current levels. (To view Hughes’ record, click here) Overall, with 3 recorded reviews, the Strong Buy analyst’s consensus rating for Assurant is unanimous. The average share price of $ 149.67 is in line with Hughes and suggests a one-year potential for an increase of ~ 10%. (See AIZ stock analysis for TipRanks.) To find good ideas for trading stocks at attractive ratings, visit TipRanks’ Best Buy Shares, a newly created tool that brings together all insights into TipRanks ownership. Disclaimer: The views expressed in this article are those of the analysts submitted. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.