We recently published a list of 10 Stocks With At Least $30 Million In Insider Sales Recently. In this article, we are going to take a look at where Hess Midstream LP (NYSE:HESM) stands against other stocks with at least $30 million in insider sales recently.
Last week, stocks declined in part due to President Donald Trump’s statements on tariffs. This week, the turbulent ride on the stock market continues as stocks react to the President’s comments on a potential recession.
In an interview on Fox News’ “Sunday Morning Futures with Maria Bartiromo” that aired Sunday, Trump discussed the U.S. economy, stating it is “a period of transition,” and did not rule out a possible recession, according to CNN Business. When directly asked if he was expecting one, the President responded, “I hate to predict things like that. There is a period of transition because what we’re doing is very big.”
The very big U.S. indexes reacted to the news, with blue-chip companies dropping by 1%, and the broader market index losing 2%. The NASDAQ, which already entered correction last week, fell another 3% today. Tech stocks were leading the sell-off.
As the market adapts to new political and economic developments, some analysts remain optimistic, with faith in the future adoption of AI technology. During these market fluctuations, insider trading often attracts attention, as executives have valuable insights into their company’s future. For instance, when a CEO or CFO buys company stock, it can signal confidence in the company’s prospects.
On the other hand, selling shares may indicate a lack of confidence, though it’s not always the case. Insiders may sell for reasons like portfolio rebalancing or personal financial needs, and many follow pre-arranged trading plans (10b5-1 plans).
While insider buying or selling can offer useful clues, it should be considered alongside a company’s financial health, industry trends, and market conditions. Research is key to making informed investment decisions.
Today, we’re focusing on stocks that have seen insider sales of at least $30 million since the start of the year. Using Insider Monkey’s insider trading screener, we identified stocks where at least one insider sale reached $30 million or more. While the total value of insider sales for these stocks could be higher, we specifically selected the stocks with the single largest insider sale above $30 million. From this group, we highlighted the 10 stocks with the highest individual insider sales.
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).
For each stock, we provide details on the highest individual sale, the number of insider sales exceeding $30 million year-to-date, and the company’s current market capitalization.
A worker measuring crude oil inside a rail tank car.
Hess Midstream LP (NYSE:HESM)
Highest Individual Sale: $430,210,000.00
Number of Sales Above $30 million: 2
Market Capitalization: $9.2 billion
Hess Midstream LP (NYSE:HESM) is an owner, developer, operator, and acquirer of midstream assets, offering fee-based services to both Hess and third-party customers across the United States. The Houston, Texas-based company operates through three primary segments: Gathering, Processing and Storage, and Terminaling and Export.
The Gathering segment is responsible for natural gas gathering and compression systems, crude oil gathering systems, and produced water gathering and disposal facilities. Its gathering network spans approximately 1,410 miles of high- and low-pressure natural gas and natural gas liquids gathering pipelines.
The Processing and Storage segment includes a natural gas processing and fractionation plant in Tioga, North Dakota, along with a 50% ownership stake in the Little Missouri 4 gas processing plant south of the Missouri River in McKenzie County, North Dakota. It also encompasses the Mentor Storage Terminal in Mentor, Minnesota, which features a propane storage cavern and rail and truck loading and unloading facilities.
The Terminaling and Export segment owns several key assets, including the Ramberg terminal facility, the Tioga rail terminal, crude oil rail cars, and various connections to the Dakota Access Pipeline. Additionally, it operates the Johnson’s Corner Header System, a crude oil pipeline header system.
The company recently reported earnings for 2024, revealing a net income of $659.0 million, compared to a net income of $607.7 million in 2023. Revenue was $1.5 billion, which compares to a revenue of $1.4 billion in the prior year. Adjusted EBITDA amounted to a gain of $1.14 billion, compared to adjusted EBITDA of $1.02 billion in 2023.
Hess Midstream (NYSE:HESM) noted that in 2024 its throughput volumes increased 14% for gas processing, 7% for terminaling and 32% for water gathering compared with 2023, primarily due to increased Hess drilling activity and higher gas capture. The company also finalized the repurchase of a total of 8.36 million Class B Units of the Partnership from the Sponsors for around $300 million.
The company has been growing its dividends for the past six years and it currently pays a quarterly dividend of $0.6175 per share. The stock’s dividend yield on January 19 came in at 7.63%. It is among the dividend challengers list ranked by yield: top 10.
On December 2, one insider sold $430.21 million worth of Hess Midstream shares for $39.11 per share. Year-to-date, the stock went up 8.91% and is now trading at $40.33 per share. Over the past 12 months, Hess Midstream shares returned 13.61% to its investors.
According to three Wall Street analysts, Hess Midstream stock deserves a “Moderate Buy” rating, and the price target is $44.67, data from TipRanks shows. The average price target represents 10.76% from the previous price.
Overall, HESM ranks 2nd on our list of stocks with at least $30 million in insider sales recently. While we acknowledge the potential of HESM, 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 HESM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
