We recently published a list of Should You Buy the Dip and Follow Insiders into These 10 Stocks?. In this article, we are going to take a look at where Celanese Corporation (NYSE:CE) stands against other stocks insiders were piling into recently.
After a turbulent week, stocks began recovering on Monday, with all three major indexes posting gains. The broader market index rose 0.64%, blue-chip stocks gained 0.85%, and the NASDAQ Composite, still in correction territory, closed 0.31% higher.
Early Tuesday, stocks began to decline again as investors focused on the Federal Reserve’s two-day policy meeting starting today. The key announcement for traders will come Wednesday when the Fed announces its interest rate decision, followed by a press conference with Fed Chair Jerome Powell. Since September, the Fed has cut interest rates three times and still, the broader market entered a correction.
Despite uncertainty from President Trump’s shifting tariff policies and geopolitical strategies, some analysts remain optimistic about AI’s future.
“We retain our view that there is more to go in stocks, and we keep our conviction in the long-term opportunities in stocks linked to both the artificial intelligence and power and resources transformational innovations,” UBS chief investment office said in a note Monday, according to CNBC.
Amid turbulence and uncertainty on Wall Street, looking at recent insider trades can provide valuable insights, as executives often have a deeper understanding of their companies. For example, when a CEO or CFO buys company stock, it may indicate strong confidence in the business’s future.
However, insider selling doesn’t always signal a lack of confidence. It could be due to personal financial needs or a desire to diversify investments. These sales are often made through pre-arranged plans, like 10b5-1 plans, to avoid any appearance of improper timing.
While insider activity can be informative, it’s important to consider it alongside the company’s financial health, market trends, and industry developments.
Our Methodology
We used Insider Monkey’s insider trading stock screener to analyze recent trading activities in several popular stocks. For each stock, we noted the number of insiders who recently acquired shares and the company’s market capitalization.
Our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds, focusing on insider trading and stock picks from hedge fund investor newsletters and conferences. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A laboratory full of vials, tubes and Bunsen burners, with a scientist in the center examining a chemical.
Celanese Corporation (NYSE:CE)
Number of Insiders Buying: 4
Market Capitalization: $6.26 billion
Celanese Corporation (NYSE:CE) is a chemicals company serving industrial customers. Formerly known as Hoechst Celanese, it is a leading global producer of acetic acid and vinyl acetate monomer. The Irving, Texas-based company operates 25 production plants and six research centers across 11 countries, mainly in North America, Europe, and Asia.
For the full-year 2024, Celanese (NYSE:CE) reported a U.S. GAAP diluted loss per share of $13.86 and an adjusted earnings per share of $8.37. The company generated $10.3 billion in net sales, a 6% decline from the previous year.
In March, four insiders purchased a total of around $907,468 worth of Celanese shares at an average price of $54.27. At the moment, the stock trades at $57.37 per share, having dropped 17.11% year-to-date, and 64.45% over the past 12 months.
According to MarketBeat, 16 analysts have given Celanese (NYSE:CE) a “Hold” rating, with a price target of $72.18. The average price target suggests an upside of 25.88% from the latest price.
Overall, CE ranks 2nd on our list of stocks insiders were piling into recently. While we acknowledge the potential of CE, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CE but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires
Disclosure: None. This article is originally published at Insider Monkey.
