6 Dividend Stocks Insiders Recently Bought Big

Seeking AlphaDividend Quick Picks6 Dividend Stocks Insiders Recently Bought BigJul. 2, 2020 10:41 AM ET|| Includes: ED, EPD, HT, PFG, PSX, RHPby: Cashflow CapitalistCashflow Capitalist Long-term horizon, dividend investing, dividend growth investing, REITsSummaryStudies have shown that buying when insiders bet big on their company's stock produces significant outperformance.
In an extended low interest rate environment, this might be especially true for high dividend stocks.
In this article, I highlight six companies that have seen significant insider buying in the last few weeks.
Included in the list are a pure-play energy midstream MLP, an oil refining and midstream company, two high-end hotel REITs, a Dividend Aristocrat utility company, and a diversified financials business.
I offer my thoughts in the conclusion.

Introduction
In an article from April of this year, I talked about why heavy insider buying is a strongly bullish signal for a stock. Academic studies have demonstrated it, in fact. Buying when insiders do tends to outperform the market by 6-10% per year, and most of this excess return accrues in the first few weeks and months after the insider makes the purchase.
After regaining nearly all of its market capitalization this year (down only ~3.5% year-to-date), the stock market is looking particularly frothy. Then again, "the stock market" is heavily and increasingly dominated by its top components, namely the FAANG stocks. Many other stocks remain in the doldrums, and many of those stocks pay generous dividends to their shareholders.
In an ultra-low interest rate environment that seems poised to stay for a while, the following six dividend stocks that insiders have recently been buying could make attractive buying opportunities.

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1. Enterprise Products Partners (EPD)
EPD is a midstream oil & gas master limited partnership that mostly focuses on natural gas and NGLs. The Houston-based... Read more