This Day On The Street
Continue to site right-arrow
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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

5 Stocks With Huge Insider Buying

Stocks in this article: WPRT MNKD DAKT SDIX SNTA

Westport Innovations

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

Get Adobe Flash player

An auto and truck parks player that insiders are loading up in here is Westport Innovations (WPRT), a provider of engine and fuel system technologies utilizing gaseous fuels. This stock hasn't done much so far in 2012, with shares virtually flat on the year.

Westport Innovations has a market cap of $1.84 billion and an enterprise value of $1.59 billion. This stock trades at a rich valuation, with a price-to-sales of 5.84 and a price-to-book of 4.32. Its estimated growth rate for this year is -0.80%, and for next year it's pegged at 43.3%. This is a cash-rich company, since the total cash position on its balance sheet is $333.33 million, and its total debt is $88.33 million.

A beneficial owner just bought 100,000 shares, or around $3.69 million worth of stock, at $36.62 per share.

From a technical perspective, WPRT is currently trading above both its 50-day and 200-day moving averages, which is bullish. This stock was recently destroyed by the bears, after it plunged from its March high of $50.19 to a low of $21.93 a share. During that massive downtrend, shares of WPRT consistently made lower highs and lower lows, which is bearish technical price action.

>>6 Sucker Stocks to Avoid at All Costs

That said, WPRT just formed a double-bottom chart pattern at around $22.33 to $21.93 a share. The stock has now soared to a recent high of $38.50 a share but subsequently pulled back right to its 200-day moving average of $33.32 a share.

If you're bullish on WPRT, then I would look for long-biased trades once this stock breaks out above some near-term overhead resistance at $38.50 to $38.66 a share with high-volume. Look for volume on that move that registers near or above its three-month average action of 2.5 million shares. If we get that action soon, then WPRT could make a run at $45 to $50 a share. Keep in mind you could get long WPRT as long as it's trending above its 200-day moving average of $33.22 and simply anticipate that breakout.

I would avoid WPRT or look for short-baized trades if it drops back below its 200-day moving average of $33.32 a share with high-volume. A high-volume move below that level could set this stock up to re-test and possibly take out its 50-day moving average of $29.35 a share. Any high-volume move below its 50-day and then some previous support at $28 could send this stock dramatically lower.

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 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

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