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: FIGPZGVRAVRNMASTI

Verenium

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

Get Adobe Flash player

Insiders are snapping up a large amount of stock in Verenium (VRNM), which manufactures and markets its enzyme products in the fields of animal health and nutrition, grain processing, oilseed processing and other markets, such as oilfield services, pulp and paper and textiles. Insiders are buying into some big time strength here since the stock is up over 93% so far in 2012.

Verenium has a market cap of $53 million and an enterprise value of $57.79 million. This stock trades at a reasonable valuation, with a trailing price-to-earnings 10.34. Its estimated growth rate for this year is 12%, and for next year it's pegged at 30.3%. This is not a cash-rich company, since the total cash position on its balance sheet is $28.76 million and its total debt is $34.85 million. After you back out the cash, Verenium has $6.09 million in debt on its books.

A beneficial owner just bought 389,528 shares, or about $1.48 million worth of stock, at $3.76 to $3.97 per share.

>>10 Small-Cap Stocks Safe for Skittish Investors

From a technical perspective, VRNM is currently trading above both its 50-day and 200-day moving averages, which is bullish. This stock has been trending strong since the start of the year, with shares soaring from a low of $2.14 to a recent high of $4.38 a share. That move has pushed the stock within range of triggering a major breakout trade if a number of past overhead resistance levels can get taken out with volume.

If you like the look of VRNM, I would consider long-biased trades if this stock can manage to break out above $4.38 to $4.68 a share with high-volume. Look for volume on that move that's near or well above its three-month average action of 109,102 shares. If we get that action soon, then VRNM could start to trend back towards its next major overheard resistance levels at $6 to $6.65 a share.

It's important that VRNM gets above $4.38 to $4.68 with volume soon and continues to trend above those levels if it's going to make a big run in the near future. A failure to hold or break out above those levels will mean VRNM isn't ready and will likely fall back below Wednesday's low of $3.78.

5 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 16,677.90 +216.58 1.32%
S&P 500 1,950.82 +23.71 1.23%
NASDAQ 4,452.7920 +69.9450 1.60%

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