We recently published a list of 10 Mid-Cap Stocks Insiders Are Buying Recently. In this article, we are going to take a look at where Healthcare Realty Trust Incorporated (NYSE:HR) stands against other mid-cap stocks insiders are buying recently.
Why is it important to keep track of insider trading activity? Insiders, meaning people in high positions, such as executives and directors, have valuable insights into the company’s strategic moves, plans and initiatives. When, for example, a CEO invests their own capital in company stocks, it can indicate strong confidence in the company’s future results.
It is important to note that behind insider selling can be various other motives, that’s why insider trading activity should be assessed within the broader context of the company’s fundamentals, industry trends, and overall market conditions. Many insider purchases don’t necessarily mean the company will be successful. That’s why due diligence before any investment is of crucial importance. Investors should also take into account and carefully analyze underlying reasons for insider transactions. However, insider trading activity in combination with other relevant factors can offer precious insights into a company’s capabilities, helping investors make more informed investment decisions.
To come up with the 10 mid-cap stocks insiders are buying recently, we only considered stocks with a market capitalization of between $2 to $10 billion. We first used Insider Monkey’s insider trading stock screener and looked for stocks with at least two insiders buying over the last three months.
With each stock we note the number of recent insider purchases and the company’s current market capitalization. But why is it important to follow insider activity? 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 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
Aerial view of a healthcare facility with a bustling parking lot.
Healthcare Realty Trust Incorporated (NYSE:HR)
Number of Insiders Recently Buying: 4
Market Capitalization: $5.839B
Healthcare Realty Trust Incorporated (NYSE:HR) is a real estate investment trust (REIT) specializing in healthcare facilities. In November and December, four directors acquired $492,000 worth of the company’s shares at a price of around $17 per share. With the current price of $16.55 per share, the stock is now trading just a bit lower than when insiders were buying. Even over the last six months, its price hasn’t changed much, having declined only 5.16%.
Out of six Wall Street analysts who have issued ratings on this stock, two have placed a Sell rating and four Hold. On the other hand, some analysts have given this mid-cap stock positive ratings due to its attractive dividend yield. Healthcare Realty Trust (NYSE:HR) offers a forward dividend yield of around 7.39%, which is considered higher than the average yield in the real estate sector.
Overall, HR ranks 8th on our list of mid-cap stocks insiders are buying recently. While we acknowledge the potential of HR, 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 HR 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.