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, LKQ Corp ( LKQ )'s CFO, Dominick P. Zarcone, made a $158,788 buy of LKQ, purchasing 5,000 shares at a cost of $31.76 each. LKQ Corp is trading up about 0.7% on the day Monday. Before this latest buy, Zarcone bought LKQ on 2 other occasions during the past twelve months, for a total investment of $460,339 at an average of $30.69 per share.
And on Wednesday, Harry D. Cohen bought $126,300 worth of LMP Capital and Income Fund ( SCD ), buying 10,000 shares at a cost of $12.63 a piece. This purchase marks the first one filed by Cohen in the past twelve months. LMP Capital and Income Fund is trading off about 0.5% on the day Monday.