Every investor wants to cut through the noise, and clear away the static of the market signals, but there are thousands of companies trading on the markets, and they put out all sorts of signs regarding their health, viability, and potential for success. Top investors will learn how to cut through that confusion to find that stock that are flashing the right signs – and show the highest potential for gains going forward.
A clear signal is needed, and one of the clearest is the pattern of insider buying. Insiders – the corporate officers, board members, and others ‘in the know’ – don’t just manage the companies, they know the details. Legally, they are not supposed to trade that knowledge, or to blatantly trade on it, and disclosure rules by government regulators help to keep the insiders honest. Their honest stock transactions, however, can be highly informative. These are the people with the deepest knowledge of particular stocks. So, when they buy or sell, especially in bulk, take note.
With the TipRanks Insiders’ Hot Stocks tool, retail investors can get a look at what these company bigwigs are doing in the market. The tools’ filters let you sort insider trades through a variety of strategies, to find the rights ones to follow. We’ve gotten the process started, using the tool to find two stocks with Strong Buy rating from the analyst community, plenty of upside potential, and recent strong insider buys. Let’s take a closer look.
KKR & Co. (KKR)
We’ll start with KKR, a financial services company in the global investment sector. KKR offers asset management services to a worldwide clientele, and currently has over $73 billion put into 110 revenue-generating company investments in its portfolio, and over $470 million in assets under management. In 2021, assets under management rose an impressive 87% from 2020.
KKR’s portfolio has been successful at generating returns for the company and its shareholders. Total revenues in 2020 came in at $4.43 billion; in 2021, that sum jumped to $16.24 billion, increasing by nearly a factor of 4. Fourth quarter…