Investing

Insider Buying Remains Very Solid as Stock Market Rises

Despite the Dow Jones Industrial Average and the S&P 500 hitting all-time highs, and the Nasdaq a 14-year high, insiders continued to buy stock this past week, in what could be a very bullish sign for investors. While the market strength has tapered some of the aggressive buying we saw in the mid-October sell-off, insiders are still stepping up to the plate.

We cover insider selling every week at 24/7 Wall St., and despite the slowing trend, some substantial purchases were still made. Here is a look at this past week’s top insider buying trades.

World Acceptance Corp. (NASDAQ: WRLD) saw a substantial purchase of shares from a 10% holder. S. Vassalluzzo bought a large block of 129,580 shares at prices that ranged from $71.40 to $72.10. The total tab for the purchase was $9.3 million. The company is one of the largest small-loan consumer finance companies, operating 1,293 offices in 14 states and Mexico. It is also the parent company of ParaData Financial Systems, a provider of computer software solutions for the consumer finance industry. World Acceptance shares closed trading on Friday at $74.24, so a timely purchase indeed.

Sears Holdings Corp. (NASDAQ: SHLD) takes its weekly spot on our insider buying screens. Once again, 10% owner B. Berkowitz is buying more stock of the teetering retailer. This week he bought 317,000 shares at prices that ranged from $35.30 to $37.00. The total amount of the buy came to $11.6 million. The shares were trading up about 31% on Friday’s close at $42.81 on chatter that the company might look to reorganize as a real estate investment trust (REIT). With 65% of the shares sold short, this could be a classic short squeeze. It is also an awesome purchase.

ALSO READ: Market Rally Brings Out Insider Sellers in Full Force

Huntsman Corp. (NYSE: HUN) saw a director of the firm buying shares of the chemical company this past week. Nolan Archibald made a statement for shareholders when he purchased 450,000 shares of the company stock at $24.00 for a sizable $10.8 million. The stock ended trading on Friday at $24.69, so another well-timed purchase.

Southern Copper Corp. (NYSE: SCCO) is another company that we have seen consistent and large insider buying at going back to the summer. Once again, the chairman of the company made a large purchase of 350,000 shares at $28.50 apiece. The total came to $10 million. He has continued to add shares as lower commodity prices and a stronger dollar continue to hammer the company’s share price. Shares closed trading on Friday at $30.20.

Crown Castle International Corp. (NYSE: CCI) had a director of the firm come in with a large buy order this week of 60,000 shares of the stock. The total for the purchase came to $4.3 million. The company provides towers and other wireless structures, such as rooftops, as well as distributed antenna systems, a type of small cell network. Shares ended the week at $79.80.

Other companies that reported insider buying this week include Sonus Networks Inc. (NASDAQ: SONS), Atlas Energy L.P. (NYSE: ATLS), Xoom Corp. (NASDAQ: XOOM), STAAR Surgical Co. (NASDAQ:STAA) and Accuray Inc. (NASDAQ: ARAY).

Continued insider buying into the teeth of a secular bull market is a good sign for shareholders of the companies, and equity investors as a whole.

ALSO READ: 10 Brands That Will Disappear in 2015

The Average American Is Losing Their Savings Every Day (Sponsor)

If you’re like many Americans and keep your money ‘safe’ in a checking or savings account, think again. The average yield on a savings account is a paltry .4% today, and inflation is much higher. Checking accounts are even worse.

Every day you don’t move to a high-yield savings account that beats inflation, you lose more and more value.

But there is good news. To win qualified customers, some accounts are paying 9-10x this national average. That’s an incredible way to keep your money safe, and get paid at the same time. Our top pick for high yield savings accounts includes other one time cash bonuses, and is FDIC insured.

Click here to see how much more you could be earning on your savings today. It takes just a few minutes and your money could be working for you.

 

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.