With Strong Insider Buying, This Stock May be a Solid Opportunity

Markets are mixed at the moment.

At the moment, the Dow is down about 167 points, as the S&P 500 sinks 15 points.  The NASDAQ is up about 16.  

The good news is that the major indices are all oversold, and appear to have caught strong support.  There’s also hope a good deal of fear is baked into the markets, with investors pricing in up to five quarter point hikes in New Year 2022.  

Unfortunately, we could see a drag from payrolls later this week.  

According to CNBC, “Friday will see the December nonfarm payrolls report, which the White House warned Friday could be hit by the omicron surge at the end of 2021. Economists surveyed by Dow Jones expect the report to show a gain of just 178,000 with the unemployment rate holding steady at 3.9%.”

If you’re looking for opportunity…

Keep an eye on Netflix (NFLX), we noted on February 27.

At the time, the stock traded at $382.06.  This morning, it’s set to open at $395.03.

For one, the stock is oversold on RSI, MACD, and on Williams’ %R.  Two, Bill Ackman’s Pershing Square just bought over 3.1 million shares of the stock, as announced just last night.  Three, NFLX co-CEO Reed Hastings just bought $20 million worth of stock for 51,440 shares at an average price of $388.83, as reported by Barron’s.

Four, analysts at Citi just upgraded the NFLX stock to a buy rating, with a $450 price target.  Edward Jones also just upgraded the stock to a buy rating.