Global GP LLC, the general partner of Global Partners LP (GLP), has recently started to acquire shares after a two-month break. The fund recently bought 21,300 shares over two transactions, paying just over $91,500 to do so.
The general partner was a regular buyer of shares of GLP back in May and June, and then took a break. A company director was also a buyer of shares in August 2023. There has been just one insider sale over the past two years.
Overall, GLP insiders own 18.9% of shares, and institutions such as Global GP LLC own nearly 43% of shares.
The oil and gas midstream operator is up 36% over the past year, returning about 50% more than the overall stock markets. Revenues are up 15%, and earnings inched up about 2%. Despite that big rally in shares, GLP still trades at a reasonable 15 times forward earnings.
Action to take: Income investors may like GLP shares here. As an LP, there are additional tax considerations. But the stock offers a high dividend of 6.8% at current prices. With energy prices now trading near their lows for the year, the energy space could be set for a rally higher in the months ahead.
For traders, shares have been in an uptrend all year, and look set to trend higher. The December 2024 $45 calls, last trading for about $2.00, could see mid-double-digit returns from a further rally into the end of the year.
Disclosure: The author of this article has no position in the company mentioned here, but may trade after the next 72 hours. The author receives no compensation from any company mentioned in this article.
