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.
On Friday, Reservoir Media's Director, Adam Rothstein, made a $271,637 buy of RSVR, purchasing 41,345 shares at a cost of $6.57 each. So far Rothstein is in the green, up about 14.8% on their purchase based on today's trading high of $7.54. Reservoir Media is trading up about 5.7% on the day Tuesday. Before this latest buy, Rothstein made one other buy in the past year, purchasing $132,770 shares for a cost of $7.81 each.
And on Thursday, Director Edward J. Ludwig bought $105,904 worth of CVS Health, buying 1,000 shares at a cost of $105.90 a piece. Before this latest buy, Ludwig purchased CVS on 2 other occasions during the past year, for a total investment of $454,635 at an average of $75.77 per share. CVS Health is trading up about 0.9% on the day Tuesday. Bargain hunters can buy CVS at a price even lower than Ludwig did, with shares changing hands as low as $103.68 at last check today which is 2.1% below Ludwig's purchase price.
For MarketNewsVideo.com, I'm Sayoko Murase.