Tellurian Inc. (TELL): Charged Up Insiders Buy Shares

Tellurian Inc. (NASDAQ:TELL) is now being followed by Credit Suisse, as they initiated the stock at Outperform on October 11. Analysts at BofA/Merrill, started covering the stock on October 09 with a Buy rating. Analysts at Robert W. Baird, made their first call about the stock on August 15, recommending it is Outperform.

Tellurian Inc. (TELL) hit an intraday high Thursday at $7.2018. The shares finished at $6.93, after trading as low as $6.32 earlier in the session. It dropped -1.98% in recent trade and currently has a stock-market value of $1.68B. Trading activity significantly improved as the volume at ready counter increased to 3,103,504 shares versus 1,685,790 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 1,312,597 shares. The stock is now 7.44% above against its bear-market low of $6.45 on December 06, 2018. It has retreated -79.65% since it’s 52-week high of $12.45 reached in May. Now the market price is down -42.96% on the year and down -28.85% YTD.

TELL’s 50 day simple moving average (SMA 50) price is $8.16 and its 200-day simple moving average (SMA 200) price is $8.73. The company’s stock currently has a total float of 91.36M shares. Its weekly volatility is hovering around 7.99% and felt 7.56% volatility in price over a month. On the upside, the share price will test short term resistance at around $7.31. On a downside, the stock is likely to find some support, which begins at $6.43. The failure to get near-term support could push it to $5.94.

Separately, it has been reported that multiple insider activity took place at Tellurian Inc. (TELL). Director, 10% Owner Souki Charif acquired 20,000 shares for $54,598,728 in transaction occurred on 2018/11/21. After making this transaction, the Director, 10% Owner owns a direct stake of 145,600 shares, worth $378,000,000, as per the last closing price. On 2018/11/20 Souki Charif, Director, 10% Owner at TELL, purchased 50,000 shares at an average price of $7.29 per share. The new stake is valued at $378,000,000.

Director, 10% Owner, Souki Charif had invested in 30,000 shares for $54,528,728 through a trade on 2018/11/15. Following this activity, the insider holds 212,400 shares worth $378,000,000 as of recent close. Wall Street’s most bullish Tellurian Inc. (NASDAQ:TELL) analysts are predicting the share price to blow past $16 per share during the next 12 months. The current median share price forecast by them is $12, suggesting that the stock could increase 73.16% in that time frame. The average price target of $11.63 calls for a nearly 67.82% increase in the stock price.

Also, it is trading at rather expensive levels at just over 4.62x price/book and 121.07x price/sales. TELL’s ROE is -45%, which is also considerably worse than the industry’s ROE of 18.53%. It’s also very liquid in the near term, with a current ratio of 4.6. The stock has a debt/capital of 0.

Shares of Tellurian Inc. (TELL) have dropped -18.2% since the company’s last earnings report. Over the past 4 fiscal quarters, Tellurian Inc. (NASDAQ:TELL) has topped consensus earnings estimates in 0 quarters (0%), missed earnings in 3 quarters (25%), whereas at 1 occasion EPS met analyst expectations. TELL last reported earnings on November 07, 2018 when it released Sep-18 results that receded expectations. The company raked in -$0.15 per share, -98.23% change on the same period last year. That was worse than consensus for -$0.14. Revenue for the recent quarter stood at $720000, down -22% on last year and below the $990000 predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $600000 to $5.9 million, which should be compared with $1.15 million generated last year. EPS is seen in a range of -$1.90E-01 to -$0.12, against the -$0.08 reported a year ago.