What's interesting about the stock at this very moment is not only the fact oil is surging higher due to the recent Opec deal in which W&T could be a major benefactor. But, it's the recent insider buy by the Chairman & CEO Tracy Krohn. On December 7 (last week) Tracy bought 1,000,000 of WTI at $1.94, on December 8th he bought 180,888 shares also at $1.94 bringing the amount of shares that he owns in a total to 42,642,712 shares.
According to Finviz and Yahoo W&T Offshore has roughly 137 million shares outstanding, 92 million in the float and 11% of that float is short with a short interest ratio of around 11 days.
Hedge Funds also showed an interest in the stock; only six hedge funds owned WTI at the end of the second quarter; that number was boosted to 10 as of 9/30/16.
The stock has been in a downtrend for a very long time, but it is finally showing some signs of life; the first time in a while the is trading above its 50 and 200 day moving averages. The 50-day is now curling higher, and the 200-day is flattening out.
Bottom line; when you put all the pieces together; OPEC deal, oil surging, oil stocks surging, insider buying, CEO owns a bulk of the float, high short interest, renewed hedge fund interest, long-term downtrend coming to a halt, above its intermediate and long-term moving average, and you have the potential of the beginning of something big starting.
Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at email@example.com or 646-480-7463.
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