Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Don’t Mistake Company Rewards for Insider Trading

Company rewards: Shares of Occidental Petroleum Corporation (NYSE:OXY) hit a 52-week-high of $97.24 per share on Wednesday, after what seemed to be heavy insider trading on Tuesday. Yet no such activity ocurred, or at least no insider purchased Occidental Petroleum shares. The shares acquired by James M. Lienert, Executive Vice President of the firm, were also granted to other high ranking employees such as Vice President Edward A. Lowe and VP Controller Pineci Roy. These operations form part of an award to board members and vary according to the position held by each individual.

Occidental Petroleum Corporation (NYSE:OXY)

James Lienert received 16,610 shares of common stock, of which he sold 6,968 shares at a value of $95.49 each. The Executive Vice President’s holdings now amount to 146,266 shares or approximately $14,183,414 (at $96.97 per share, as of Oct. 16, 4:42 pm EST). On Wednesday, the value of Occidental Petroleum shares increased by 1.83% after opening at $95.99. However, this increase was not motivated by insider trading, since the insiders did not buy the shares, but rather received them free of charge from the firm.

Instead, the increase is related to positive news, such as the election of Vicki Hollub as Vice President and the announcement of a regular quarterly dividend of $0.64 per share. The dividend will be payable on January 15th, 2014.

With a compound annual growth rate of 18% in sales and of 16% for net income, Occidental Petroleum is very attractive. Share prices have been rising steadily, following the positive results the firm continues to present to shareholders. Growing dividends are also worth mentioning, as the company offers good returns on investments. It would come as no surprise to see stock prices rise even further at the end of the month, since Occidental Petroleum is set to announce its third quarter results on October 29th.

Disclosure: Pablo Erbar holds no position in any stocks mentioned

Recommended Reading:

Is Fastenal a Good Stock to Buy? The Smart Money Thinks So

Equal Energy Insider Buying is Worth Watching

KB Home Insider Trading Activity Spikes

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!