Media Merger Rumors Show Value in Two Companies

The stock market has always been rife with rumors. From big players talking up positions or trying to talk down a shorted stock, it’s part of the great game. This week, merger speculation occurred that Comcast (CMCSA) was looking to merge or buy out a number of smaller players. While Wall Street analysts are trying to downplay these rumors, the possibility has been floated that the cable giant turned media powerhouse is looking to buy up either Roku (ROKU) or ViacomCBS ...
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Insider Trading Report: Restaurant Brands International (QSR)

Marc Lemann, a director at Restaurant Brands International (QSR), recently bought 15,000 shares. This buy came to a total purchase price of just over $1 million, and represents the director’s initial stake in the company. This represents a rare buy at the company, as the most recent prior buy occurred in early 2019. Overall, company insiders have been regular and large sellers of company shares, including both C-suite executives and company managers. Overall, company insiders own about 1.5 percent of company ...
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Unusual Options Activity: Weyerhaeuser (WY)

Shares of mill and paper firm Weyerhaeuser (WY) have slid heavily in the past few weeks, coinciding with a massive drop in lumber prices after a massive expansion in the past year. One trader sees the potential for a return to the stock’s recent highs. That’s based on the March 2022 $40 calls. Expiring in 263 days, over 6,085 contracts traded against a prior open interest of 153 contracts, for a 40-fold rise in volume. The buyer of the option paid about ...
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The World’s Most Successful Conglomerate Buys… Itself

The pandemic saw a rapid drop in companies paying out dividends or buying back shares. That trend has now reversed. Even though most stocks are above pre-pandemic levels and have been for some time, buybacks are still moving higher. One such company that’s gotten into the buyback game in recent quarters is Berkshire Hathaway (BRK-B). The conglomerate operated by Warren Buffett has been making small purchases of its shares, with an estimated $6.4 billion buyback in the current quarter. Buffett follows ...
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Unusual Options Activity: SoFi Technologies (SOFI)

Shares of fintech firm SoFi Technologies (SOFI) have been trading in a narrow range since the company’s IPO via a special purpose acquisition company, or SPAC. One trader sees the potential for a move higher in the coming weeks and months. That’s based on a number of unusual options in the stock. The most interesting is the January $7.50 calls. With 210 days until expiration, over 8,300 contracts traded against an open interest of 228, for a 36-fold jump in volume. The ...
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Insider Trading Report: FutureFuel Corp (FF)

Donald Bedell, a director at FutureFuel Corp (FF), recently picked up 10,000 shares. The buy increased his stake by 17 percent, and came to a total purchase price of $9,660. This marks the first insider buy since a director picked up shares in March of 2020. Two insiders sold in 2020, otherwise, company insiders haven’t been particularly active. Overall, company insiders own over 41 percent of shares. The company manufactures biofuels and related chemicals. Despite a rise in energy prices in ...
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Is It Time for Short Squeeze 2.0?

Possibly. The past few weeks have seen AMC Entertainment (AMC) raise billions of dollars in capital from selling shares at market, and retiring debt. And earlier this week, GameStop (GME) announced it completed a 5-million share sale as well. By raising this capital, these companies are now well-funded for future expansions. And by paying off debt, they improve their cash flows by avoiding interest payments as well. That doesn’t even get into the possibility of a short squeeze. While the market is ...
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Insider Trading Report: Continental Resources (CLR)

Harold Hamm, a director and major holder at Continental Resources (CLR), recently bought 76,486 shares. The buy increased his stake by 0.03 percent. The buy comes two days after a 270,000 share buy. In total, the insider has bought more than $10 million in shares this month. Other company insiders have been active in the past year, although insider sales have outpaced insider buys, even as shares have trended higher in the past year. Overall, company insiders own a whopping 82 ...
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