PES Trading Below CEO's Recent Buy Price

There's an old saying on Wall Street about insider buying: there are many possible reasons to sell a stock, but only one reason to buy. Back on December 1, Pioneer Energy Services Corp's CEO, Stacy Locke, invested $109,975.68 into 19,093 shares of PES, for a cost per share of $5.76. Bargain hunters tend to pay particular attention to insider buys like this one, because presumably the only reason an insider would take their hard-earned cash and use it to buy stock of their company in the open market, is that they expect to make money.

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In trading on Monday, bargain hunters could buy shares of Pioneer Energy Services Corp ( PES) and achieve a cost basis 4.5% cheaper than Locke, with shares changing hands as low as $5.50 per share. Pioneer Energy Services Corp shares are currently trading down about 4% on the day. The chart below shows the one year performance of PES shares, versus its 200 day moving average:

Pioneer Energy Services Corp Chart

Looking at the chart above, PES's low point in its 52 week range is $5.45 per share, with $18.40 as the 52 week high point — that compares with a last trade of $5.55. By comparison, below is a table showing the prices at which insider buying was recorded over the last six months:

Purchased Insider Title Shares Price/Share Value
12/01/2014 Stacy Locke President & CEO 19,093 $5.76 $109,975.68

According to the ETF Finder at ETF Channel, PES makes up 1.29% of the SPDR S&P Oil & Gas Equipment & Services ETF ( XES) which is trading lower by about 2.2% on the day Monday.

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