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

Continental Resources

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

Get Adobe Flash player

One stock that insiders are snapping up here is Continental Resources (CLR), an independent crude oil and natural gas exploration and production player with operations in the North, South and East regions of the U.S. Insiders are buying this stock into some slight strength here since shares are up over 12% so far in 2012.

Continental Resources has a market cap of $13.4 billion and an enterprise value of $15.7 billion. This stock trades at a reasonable valuation, with a trailing price-to-earnings of 21.28 and a forward price-to-earnings of 16.37. Its estimated growth rate for this year is 29.6%, and for next year it's pegged at 30.9%. This is not a cash-rich company, since the total cash position on its balance sheet is $42.68 million and its total debt is $1.89 billion.

The CEO and chairman of the board just bought 100,000 shares, or around $7.16 million worth of stock, at $71.21 to $71.51 per share.

>>5 Earnings Stocks Poised to Pop

From a technical perspective, CLR is currently trading below its 50-day moving average and above its 200-day moving average, which is neutral trendwise. This stock has been downtrending for the past three months from a high of $97.19 to a recent low of $70.22 a share. That low occurred right after CLR bounced right near its 200-day moving average of $70.61, and it's now trading at around $75.30 a share.

If you're in the bull camp on CLR, then I would only look for long-biased trades once this stock triggers a break out above some near-term overhead resistance at $80 a share with high-volume. Look for volume on that move that's near or well above its three-month average action of 1.3 million shares. If we get that move, then I would add to any long positions cone CLR takes out its 50-day moving average at $83.11 with volume. Target a run back toward its May high of $91.82 a share or possibly higher.

I would simply avoid CLR or look for short-biased trades if it fails to trigger that breakout, and then drops below its 200-day and some near-term support at $70.22 with high volume. A high-volume move below those levels should setup CLR to re-test its next significant support level at $61.61 a share.

2 of 6

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
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 17,233.99 +77.14 0.45%
S&P 500 2,009.65 +8.08 0.40%
NASDAQ 4,585.2410 +23.0520 0.51%

Brokerage Partners

Rates from

  • 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