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 With Big Insider Buying

Abbott Laboratories

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

Get Adobe Flash player

Another biotech stock that insiders are jumping into here is Abbott Laboratories (ABT), which is engaged in the discovery, development, manufacture and sale of a broad and a line of health care products. Insiders are buying this stock into modest strength, since shares are up 2.8% in the last months.

Abbott Laboratories has a market cap of $53.82 billion and an enterprise value $58.26 billion. This stock trades at a reasonable valuation, with a trailing price-to-earnings of 9.15 and a forward price-to-earnings of 15.07. Its estimated growth rate for this year is -60.2%, and for next year it's pegged at 11.9%. This is not a cash-rich company, since the total cash position on its balance sheet is $11.50 billion and its total debt is $16.28 billion.

A director just bought 10,000 shares, or about $338,000 worth of stock, at $33.83 to $33.86 per share.

From a technical perspective, ABT is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock has been uptrending strong for the last two months and change, with shares moving higher from its low of $29.84 to its recent high of $34.24 a share. During that uptrend, shares of ABT have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of ABT within range of triggering a major breakout trade.

Traders should now look for long-biased trades in ABT as long as it's trending above some near-term support levels at $32.55 or above its 50-day at $32.11, and then once it manages to break out above some key overhead resistance levels at $33.88 to $34.53 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 14.9 million shares.

If that breakout triggers soon, then ABT will set up to enter new 52-week high territory, which is bullish technical price action. Some possible upside targets off that breakout are $37 to $40 a share.

5 of 6

Select the service that is right for you!

COMPARE ALL SERVICES
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 17,031.66 +0.52 0.00%
S&P 500 1,984.18 +0.05 0.00%
NASDAQ 4,519.3260 +0.4240 0.01%

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