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.
At Hersha Hospitality Trust, a filing with the SEC revealed that on Thursday, COO Neil H. Shah purchased 20,000 shares of HT, for a cost of $5.00 each, for a total investment of $100,000. Shah was up about 14.0% on the purchase at the high point of today's trading session, with HT trading as high as $5.70 at last check today. Hersha Hospitality Trust is trading down about 3.7% on the day Tuesday. Before this latest buy, Shah purchased HT on 20 other occasions during the past twelve months, for a total investment of $1.78M at an average of $9.07 per share.
And on Monday, Andrew Feltus bought $48,800 worth of Pioneer Diversified High Income Trust, buying 4,000 shares at a cost of $12.20 each. This buy marks the first one filed by Feltus in the past year. Pioneer Diversified High Income Trust is trading off about 0.2% on the day Tuesday. Investors are able to bag HNW at a price even lower than Feltus did, with shares trading as low as $11.95 in trading on Tuesday which is 2.0% below Feltus's purchase price.
For MarketNewsVideo.com, I'm Sayoko Murase.