We would not be surprised to see a bear market rally in the near future, perhaps a quick 10% higher. It looks like corporate executives might be feeling the same way too. Insider buying picked up last week. While we see potential upside, it’s way, way too early to declare the death of the bear market.
As such, we will continue to build our list of potential buy candidates using insider buying as our jump off point. This week, we’ve identified a pair of companies to add to our list, both have more than 100% upside to their consensus, one-year price targets.
Caesars Entertainment, Inc. (CZR)
Director Don Kornstein purchased 5,000 shares of Caesars Entertainment on June 13, 2022 at $39.48 per share for a total investment of $197,419. The director has three prior CZR trades. Let’s start at the beginning. In 2018, the director purchased 45,000 in two separate buys for close to $300k. (1)
Kornstein bought 25,000 shares at $6.95 and another 20,000 at $6.29. Two years later, he sold $10,504 at $74.01, collecting $777,421. As we type, Caesars Entertainment trades at $39.65 and has a one-year price target of $106.43. (2) If CZR hits Wall Street’s predicted price, it would be a 168% gain.
In case you don’t know, Caesars Entertainment operates as a gaming and hospitality company in the United States. The company operates casinos comprising poker, keno, and race and online sportsbooks; dining venues, bars, nightclubs, and lounges; hotels; and entertainment venues.
As of December 31,2021, the company owned, leased, and managed 52 domestic properties in 16 states, consisting of approximately 55,700 slot machines, video lottery terminals, and e-tables; 2,900 table games; and 47,700 hotel rooms.
RingCentral, Inc. (RNG)
Chief Executive Officer (CEO) and RNG Chairman Vladimir Shmunis recently had a major change of heart. You see, he sold close to $485 million of RingCentral stock, one after another uninterrupted starting in March 2014 and ending in November 2021.
On May 24, 2022, the streak of red stopped with a $1.19 million buy of 20,000 shares at $59.52. Shmunis came back for 10,000 more shares and another half-million dollars on June 14, 2022. (3) That’s probably one of the most drastic change of hearts we’ve seen.
Maybe the CEO’s 180-degree turn came after he saw analysts one-year price target of $129.12? Doubtful, but you never know. As of this keystroke, the stock trades at $52.23. (4) Shares would gain 147% if RNG meets Wall Street’s price forecast.
RingCentral is a leading provider of global enterprise cloud communications, video meetings, collaboration, and contact center software as a service (SaaS) solutions. RingCentral empowers modern mobile and distributed workforces to communicate, collaborate, and connect via any mode, any device, and any location.
RingCentral offers three key products in its portfolio, including: RingCentral MVP, a Unified Communications as a Service (UCaaS) platform including team messaging, video meetings, and a cloud phone system; RingCentral customer engagement solutions, including RingCentral cloud Contact Center as a Service (CCaaS), and RingCentral Engage Digital and Voice; and RingCentral Video, launched in 2020, our branded video meeting solution with team messaging that enables smart video meetings. RingCentral’s open platform integrates with leading third-party business applications and enables customers to easily customize business workflows.
1 – https://www.secform4.com/insider-trading/1023115.htm
2 – https://finance.yahoo.com/quote/CZR?p=CZR&.tsrc=fin-srch
3 – https://www.secform4.com/insider-trading/1586647.htm
4 – https://finance.yahoo.com/quote/RNG?p=RNG