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 Newell Brands, a filing with the SEC revealed that on Thursday, Chief Financial Officer Mark J. Erceg bought 100,100 shares of NWL, at a cost of $9.98 each, for a total investment of $999,093. So far Erceg is in the green, up about 5.0% on their purchase based on today's trading high of $10.48. Newell Brands is trading up about 3.6% on the day Friday. Before this latest buy, Erceg bought NWL at 2 other times during the past year, for a total investment of $1.99M at an average of $13.86 per share.
And at CVS Health, there was insider buying on Wednesday, by CEO Karen S. Lynch who bought 14,000 shares for a cost of $69.75 each, for a trade totaling $976,567. This buy marks the first one filed by Lynch in the past year. CVS Health is trading up about 2.8% on the day Friday. So far Lynch is in the green, up about 2.5% on their purchase based on today's trading high of $71.52.
For MarketNewsVideo.com, I'm Sayoko Murase.