As the saying goes, there are many possible reasons for an insider to sell a stock, but only one reason to buy -- they expect to make money. So let's look at two noteworthy recent insider buys.
At Ardelyx, a filing with the SEC revealed that on Thursday, Director David M. Mott bought 170,000 shares of ARDX, for a cost of $5.89 each, for a total investment of $1.00M. So far Mott is in the green, up about 24.0% on their purchase based on today's trading high of $7.30. Ardelyx is trading up about 13.9% on the day Friday. Before this latest buy, Mott bought ARDX at 2 other times during the past twelve months, for a total cost of $997,427 at an average of $6.85 per share.
And at Blackrock Capital Allocation, there was insider buying on Tuesday, by Richard M. Rieder who purchased 18,182 shares for a cost of $22.28 each, for a total investment of $405,040. Before this latest buy, Rieder bought BCAT at 2 other times during the past twelve months, for a total investment of $2.37M at an average of $20.00 per share. Blackrock Capital Allocation is trading trading flat on the day Friday. So far Rieder is in the green, up about 1.9% on their buy based on today's trading high of $22.70.
For MarketNewsVideo.com, I'm Sayoko Murase.