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 Compass Diversified, a filing with the SEC revealed that on Thursday, Patrick A. Maciariello purchased 22,500 shares of CODI, at a cost of $22.29 each, for a total investment of $501,532. Investors have the opportunity to pick up CODI even cheaper than Maciariello did, with shares changing hands as low as $21.73 at last check today -- that's 2.5% under Maciariello's purchase price. Compass Diversified is trading trading flat on the day Tuesday. Before this latest buy, Maciariello made one other purchase in the past twelve months, buying $202,143 shares at a cost of $20.21 a piece.
And on Friday, Director Darren R. Jackson purchased $257,954 worth of Wolfspeed, purchasing 10,000 shares at a cost of $25.80 each. This buy marks the first one filed by Jackson in the past year. Wolfspeed is trading up about 3.6% on the day Tuesday.
For MarketNewsVideo.com, I'm Sayoko Murase.