Callon Petroleum Company (CPE) Insider Selling Portends a Decline in Stock

The insider sell/buy ratio of Callon Petroleum Company (NYSE:CPE) is recorded at 166.17, pointing to bearish feelings about the stock among corporate executives and directors. CPE recorded 5 sales on the open market in the last three months. They sold nearly 103,854 shares while purchases amounted to 625 shares that period. Looking even further back to 12 months, corporate insiders offloaded 164,057 shares when buyers snapped up 625 shares. The 12-month’s totals signify about a 262.49-to-1 sell/buy ratio.

Faulkenberry Barbara J gathered a total of 0.63 thousand shares of Callon Petroleum Company (CPE) at average share price of $7.97. This insider trade in the company took place on 12/11/2018. The total for the purchase was set at $4.98 thousand. After this transaction, the Director account balance stood at 0.63 thousand shares. The stock grew 6.52 percent since that insider purchase. On 09/18/2018, Conn Mitzi P, Vice President and CAO, sold 15 thousand shares at a price per share of $11.76. This removed 176.4 thousand shares from the insider’s fortune and the stock saw a -27.81 percent retreat in value since the news became public. This transaction left 66.41 thousand shares in the Vice President and CAO account.

On 02/14/2017, Vice President of Land Weant Jerry A performed a sale transaction worth $57.8 thousand. This sale at $14.45 each has eliminated 4 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded -41.25 percent decrease since the transaction was reported. The insider now is left with 57.89 thousand shares remaining in the account. Weant Jerry A, who performs the Vice President of Land job, bought 1 thousand shares for $6 thousand. The acquisition occurred on 01/13/2016 was priced at $6 per share. The share price soared 41.5 percent since the reporting date. Weant Jerry A now left with a stake of 4 thousand CPE stock worth $33.96 thousand after the insider buying.

The 12-month median price target for Callon Petroleum Company (CPE) assigned by the analysts stands at $12.5, which represents a return potential of 47.23 percent when compared to the closing price of the stock of $8.49 on Friday, January 11. The lowest price target for the stock is $6.75 — slightly more than -20.49 percent from CPE’s current share price. The stock will probably climb 56.77 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $22-month high price target. This represents a whopping 159.13 percent increase from where shares are trading today.

On momentum oscillators front, ‘RSI’ has touched 60.11 on daily chart, which may remain a cause for concern. If the price breaks below $8.03 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $8.67 mark may result into a pull-back move towards $8.85 level. The stock is currently hovering around the first support level of $8.26. Below this, the next support is placed in the zone of $8.03. Till the time, the CPE stock trades above this level, bulls have nothing to fear.

Shares of Callon Petroleum Company (CPE) are trading at a P/E ratio of 11.71 times earnings reported for the past 12 months. The industry CPE operates in has an average P/E of 16.71. Its P/E ratio went as low as 8.39X and as high as 21.71 over the 5-year span. Further, it is sporting a 3.59 on the Price-to-Sales ratio. Compare this with the industry average P/S of 99.8. 83.4 percent is the gross profit margin for Callon Petroleum Company and operating margin sits at 46.9 percent. Along with this, the net profit margin is 29.4 percent.

On 11th of January, Callon Petroleum Company (NYSE:CPE) shares ended lower after a volatile session. The shares dropped -0.09 points or -1.05 percent at $8.49 with a heavy trade volume of 9.732 million shares. After opening the session at $8.42, the shares went as high as $8.62 and as low as $8.21, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $1.95 billion and now has 229.99 million shares outstanding. Callon Petroleum Company (CPE) stock has gained 12.75 percent of market value in 21 trading days.

CPE stock has a trailing 3-year beta of 1.5, offering the possibility of a higher rate of return, but also posing more risk. The portion of a company’s profit allocated to each outstanding share of common stock was $0.76 a share in the trailing twelve months. The stock’s value has surged 30.82 percent year to date (YTD) against a decline of -32.67 percent in 12 month’s time. The company’s shares still trade -42.05 percent away from its 1-year high of $14.65 and 52.42 percent up from 52-week low of $5.57. The average consensus rating on the company is 1.9, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a buy.