Universal Technical Institute
Another stock that insiders are finding attractive here is educational services player Universal Technical Institute (UTI - Get Report), which provides postsecondary education for students seeking careers as professional automotive, diesel, collision repair, motorcycle and marine technicians. Insiders are buying this stock into some decent strength here, since shares are up around 12% in the last six months.
Universal Technical Institute has a market cap of $336.75 million and an enterprise value of $237.25 million. This stock trades at a premium valuation, with a trailing price-to-earnings of 25.16 and a forward price-to-earnings of 33.20. Its estimated growth rate for this year is -66.1%, and for next year it's pegged at 0%. This is a cash-rich company, since the total cash position on its balance sheet is $92.09 million and its total debt is zero.A beneficial owner just bought 43,359 shares, or about $581,000 worth of stock, at $13.35 per share. From a technical perspective, UTI is currently trading above both its 50-day and 200-day moving averages, which is bullish. This stock has been uptrending very strong for the past two months, with shares soaring from a low of $10.83 to its recent high of $13.97 a share. During that uptrend, shares of UTI have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed UTI within range of triggering a major breakout trade. If you're in the bull camp on UTI, then I would only look for long-biased trades if it can manage to break out above some key overhead resistance levels at $13.97 to $14.91 a share with high volume. Look for a sustained move or close above those levels with volume that registers near or above its three-month average action of 72,206 shares. If we get that breakout soon, then UTI will setup to re-test or take out its next major overhead resistance levels at $17 to $19 a share.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
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
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts