This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

5 Stocks Insiders Love Right Now

Stocks in this article: NSKWNIHDUTHREBIX

NII Holdings

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

One communications services player where insiders are buying up a solid amount of stock in is NII Holdings (NIHD), which provides wireless communication services under the Nextel brand through operating companies located in selected Latin American markets. Insiders have clearly spotted some deep value here since this stock is down by over 50% in 2011.

NII Holdings has a market cap of $3.43 billion and an enterprise value of $5.19 billion. This stock trades at a cheap valuation, with a trailing price-to-earnings ratio of 11.31 and a forward price-to-earnings of 10.02. Its estimated growth rate for this year is -17.6%, and for next year it's pegged at 22%. This is far from a cash-rich company; the total cash position on its balance sheet is $2.64 billion, and its total debt is $4.46 billion.

The president just bought 38,770 shares, or $815,056 worth of stock, at $20.48 to $21.03 per share.

From a technical standpoint, NIHD is currently trading well below both its 50-day and 200-day moving averages, which is bearish. This stock has been stuck in a nasty downtrend since August, where the stock has been consistently making lower highs and lower lows, which is also bearish. The stock has had some decent trading bounces during that period, but ultimately, the stock has done nothing but trend lower.

If you're interested in NIHD from the long side, then I would look to buy some shares for a trade if the stock can breakout above some near-term overhead resistance at $20.47 on high-volume. Look for volume on any move above that level that registers near or above 3,160,320 shares. If we see that move, then this stock could be good for a trade back towards its 50-day moving average of $24.28 a share. Use a mental stop just below $20.47 if you're looking to play this potential breakout.

NII Holdings, one of Lone Pine Capital's top holdings, shows up on a recent list of 5 Telecom Picks for 2012.

4 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,708.60 +247.28 1.50%
S&P 500 1,956.11 +29.00 1.50%
NASDAQ 4,460.2290 +77.3820 1.77%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs