Insider Selling At BOE, time to sell?
The CEO and others took their "skin in the game" off the table. Since then the share price has been dropping. Is this a sign it's time to take some profit off the table? Kind regards Mark
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Answer
Hi Mark,
It’s never a good sign to see directors selling and the markets clearly voted with both feet knocking the stock ~27% in just 3-weeks. We’ve been looking for BOE to break below its April low, and potentially test $4, for many weeks and that’s come to fruition this week hence we are now adopting a neutral/positive stance on BOE i.e. the horse has already bolted.
There are 3 linked points to make with regard to BOE and its ASX peers:
- MM is bullish towards global uranium stocks over the medium-long term.
- Our preferred exposure of the ASX names is Paladin (PDN) which we bought back for our Active Growth Portfolio on Thursday, we already held it in our Emerging Companies Portfolio.
- We still think PDN is a better way of playing U, noting that Monday will bring some further weakness across the volatile sector and we intend to increase our positions if furrther weakness prevails.
