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 Sound Point Meridian Capital, a filing with the SEC revealed that on Wednesday, Chairman Stephen Ketchum purchased 8,000 shares of SPMC, at a cost of $15.53 each, for a total investment of $124,270. So far Ketchum is in the green, up about 2.1% on their buy based on today's trading high of $15.86. Sound Point Meridian Capital Inc is trading up about 1.2% on the day Thursday. Before this latest buy, Ketchum made one other purchase in the past year, buying $142,374 shares for a cost of $20.34 each.
And on Monday, Director Evan Bayh purchased $123,650 worth of Fifth Third Bancorp, purchasing 3,000 shares at a cost of $41.22 a piece. This buy marks the first one filed by Bayh in the past twelve months. Fifth Third Bancorp is trading up about 0.5% on the day Thursday. So far Bayh is in the green, up about 1.7% on their purchase based on today's trading high of $41.93.
VIDEO: Thursday 10/23 Insider Buying Report: SPMC, FITB
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