Another renewable energy company where insiders are snapping up shares in is KiOR (KIOR), a development stage company, focuses on operating as a renewable fuels company. Through its proprietary biomass-to-renewable fuel technology platform, it converts non-food biomass into hydrocarbon-based oil. This stock has done absolutely nothing so far in 2011, with shares up by just 0.3%.
KiOR has a market cap of $1.52 billion and an enterprise value of $1.51 billion. This stock isn't cheap, trading at a forward price-to-earnings of 30. This company has a decent cash position on its balance sheet, with $21.95 million in cash and $9.23 million in total debt, which comes out to $12.72 million in net cash.A beneficial owner just bought 115,828 shares, or $1.7 million worth of stock, at $14.95 to $15.05 per share. This same insider also bought millions worth of KIOR stock in late June. From a technical standpoint, this stock recently hit a high of $15.50 a share but has since pulled back towards its current price of $15 a share. The stock is still holding a pattern of higher lows, which is bullish as long as that pattern isn't broken. The way I would play KIOR is to wait for a major breakout above $15.50 a share. If you see the stock take out that level to the upside on strong volume, then look to load up on this stock. Since KIOR is a recent IPO, a breakout above $15.50 will attract momentum investors who love to buy stocks that are printing new highs.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV