Audience

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One semiconductor stock that insiders are active in here is Audience ( ADNC), a provider of intelligent voice and audio solutions that improve voice quality and the user experience in mobile devices. Insiders are buying this stock into big time strength, since shares are up 39% so far in 2013.

Audience has a market cap of $303 million and an enterprise value of $163 million. This stock trades at a reasonable valuation, with a trailing price-to-earnings of 22.38 and a forward price-to-earnings of 22.31. Its estimated growth rate for this year is -34.1%, and for next year it's pegged at 12.1%. This is a cash-rich company, since the total cash position on its balance sheet is $127.64 million and its total debt is just $5.29 million.

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The CFO just bought 50,000 shares, or about $659,000 worth of stock, at $13.10 to $13.25 per share.

From a technical perspective, ADNC is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock recently formed a double bottom chart pattern at $12.35 to $12.44 a share. Since marking that bottom, shares of ADNC have moved higher back above its 50-day and 200-day moving averages, and it's now quickly moving within range of triggering a near-term breakout trade.

If you're bullish on ADNC, then I would look for long-biased trades as long as it's trending above its 50-day at $12.91 and then once it breaks out above some near-term overhead resistance at $15 a share with high volume. Look for a sustained move or close above $15 with volume that hits near or above its three-month average action of 193,508 shares. If that breakout triggers, then ADNC will set up to re-test or possibly take out its next major overhead resistance level at $16.45 a share. Any high-volume move above $16.45 will then give ADNC a chance to re-fill some of its previous gap down zone from last September that started near $19 a share.

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