Bargain hunters are wise to pay careful attention to insider buying, because although there are many various reasons for an insider to sell a stock, presumably the only reason they would use their hard-earned dollars to make a purchase, is that they expect to make money. Today we look at two noteworthy recent insider buys.
On Thursday, Royal Caribbean Cruises' CEO, Richard D. Fain, made a $2M buy of RCL, purchasing 18,900 shares at a cost of $105.60 each. Royal Caribbean Cruises is trading down about 1% on the day Monday.
And also on Thursday, CEO Joseph A. Jolson bought $439,642 worth of JMP Group, buying 96,565 shares at a cost of $4.55 each. Before this latest buy, Jolson purchased JMP at 14 other times during the past year, for a total investment of $1.44M at an average of $5.03 per share. JMP Group is trading up about 0.8% on the day Monday. Investors can buy JMP even cheaper than Jolson did, with the stock trading as low as $4.30 in trading on Monday — that's 5.6% below Jolson's purchase price.
For MarketNewsVideo.com, I'm Sayoko Murase.