Pedal to the Metal
After watching shares of AK Steel Holding (NYSE:AKS) free fall to the tune of 42.2% over the course of the past month, insiders decided enough was enough. On Tuesday of this past week, the CEO and an Executive VP combined to purchase almost $280,000 worth of company stock. The purchases occurred at prices ranging from $7.96 to $8.09 per share.
The stock has been in a downward spiral ever since the company missed analysts' estimates on its Q2 earnings late last month. Despite the "miss," AK Steel managed to report a 12.3% year-over-year improvement in net sales. The company benefited from higher average selling prices, although it expects pricing to experience a slight downtick in Q3.
Another basic materials play that has seen some major insider activity is Titanium Metals (NYSE:TIE). Since the beginning of August, insiders have bought $8.6 million worth of the company's stock. The purchases have occurred at prices ranging from $13.65 to $16.30 per share. TIE shares are down 17% for the past month ago.
Early last week, the CEO and a director for Chesapeake Energy (NYSE:CHK) combined to buy more than $3 million worth of CHK shares at prices ranging from $27.46 to $29.00 per share. The purchases came even as this stock has been holding strong.
Chesapeake is fresh off a Q2 that topped analysts' expectations and amounted to a 65% top line improvement from the prior year quarter. The company is running on all cylinders as oil production is up 62% from a year ago and a new discovery in the Utica Shale has recently come to light. CHK shares are up 5.1% over the course of the past month.
Two other energy companies that witnessed notable insider purchases were Anadarko Petroleum (NYSE:APC) and Dominion Resources (NYSE:D). A director for Anadarko picked up close to $200,000 worth of shares in a price range of $65.03 to $66.11 per share this past Tuesday. The CEO, CFO and a director for Dominion have collectively bought more than $685,000 worth of common stock this month. APC shares have fallen 5.8% in the last 30 days while D shares have slid 1.3%.
The Bottom Line
It may be some time before the volatility in the commodities space and the markets in general begins to settle down. In the meantime, the topsy-turvy conditions have helped spur insider-buying action. These five stocks have seen some of the most notable action and may be worth a close look for investors looking to establish or add to commodity positions.