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 Boeing, a filing with the SEC revealed that on Tuesday, Director Steven M. Mollenkopf purchased 480 shares of BA, at a cost of $208.39 each, for a total investment of $100,027. Bargain hunters have the opportunity to grab BA even cheaper than Mollenkopf did, with the stock changing hands as low as $203.10 in trading on Friday -- that's 2.5% below Mollenkopf's purchase price. Boeing is trading off about 0.8% on the day Friday. This purchase marks the first one filed by Mollenkopf in the past twelve months.
And on Thursday, Edward P. Grace III purchased $46,988 worth of Babson Capital Corporate Investors Fund, purchasing 3,000 shares at a cost of $15.66 each. Before this latest buy, Grace III made one other buy in the past twelve months, purchasing $15,800 shares at a cost of $15.80 each. Babson Capital Corporate Investors Fund is trading up about 0.6% on the day Friday. So far Grace III is in the green, up about 1.2% on their buy based on today's trading high of $15.85.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
