One company which has continued to perform quite well since rising approximately 50% over 2017 is Pembina Pipeline Corporation (NYSE:PBA).
The energy infrastructure company has boomed as investors have continued to look for increased exposure to segments of the oil & gas sector which are less susceptible to near-term movements in the price of oil, with the ability to return larger amounts of capital to shareholders over time via higher dividend yields.
Pembina is one pipeline with excellent fundamentals and a track record for returning a very juicy yield to dividend-hungry investors. The company’s yield currently hovers between 4.5% and 5%, providing a very attractive entry point at valuation multiples which are par for the course in terms of its competitors.
This past week, Bruce Rubin, one of the company’s board members, purchased a meaningful chunk of stock in the company, doubling his holdings to 10,000 shares amid price increases which many believe to be only the start of a continued rebound for the pipeline. Given the company’s solid balance sheet, investors looking to ride the coattails of one of the company’s most knowledgeable insiders may do well in the months and years to come.
As always, a reminder that insider buying is in no way an indication of the direction a stock is expected to move in the near-term, and long-term investors should assess the fundamentals of said company and consult an investment advisor before making any purchases.
Invest wisely, my friends.
