ARC insiders buy at multi-decade lows
    
    
      
    
  

  
    
        The stock of Canadian
        natural gas-focused ARC Resources
        hit a multi-decade low of
        $2.42 on March 18th.
        While there was some officer buying as
        the stock traded near those lows,
        there was also a Director selling.
        While we do not know for sure,
        those sales have the appearance of
        potentially being forced sales near the lows.
        Generally, forced selling is something we
        often see near share price lows.
        Indeed, a few days
        before the low, on March 13th,
        ARC announced that in order to
        help maintain balance sheet strength,
        it was cutting capital spending by
        40% to $300 million this year.
        It also is replacing
        its 5-cent monthly distribution
        with a 6-cent quarterly distribution.
        According to Refinitiv, ARC has
        a total debt to equity ratio of about 27.
        According to INK estimates,
        that is less than half the sector
        or market averages.
        The stock is already up 70% from its lows.
        Given market volatility these days,
        perhaps lower entry points will be
        seen in the days ahead for those
        who are willing to bet that ARC
        can help lead the way of out
        the oil-patch and COVID-19 wilderness.
        Get our full report via
        INKResearch.com or the
        Canadian Insider Club at CanadianInsider.com.
        This report is not
        a recommendation to buy or sell securities.