Bargain hunters are wise to pay careful attention to insider buying, because although there are many various reasons for an insider to sell a stock, presumably the only reason they would use their hard-earned dollars to make a purchase, is that they expect to make money. Today we look at two noteworthy recent insider buys.
At Southern Copper Corp ( SCCO ), a filing with the SEC revealed that on Tuesday, Chairman of the Board German Larrea Mota Velasco purchased 122,600 shares of SCCO, at a cost of $25.87 each, for a total investment of $3.17M. So far Velasco is in the green, up about 6.8% on their purchase based on today's trading high of $27.62. Southern Copper Corp is trading up about 2% on the day Thursday. Before this latest buy, Velasco purchased SCCO on 4 other occasions during the past year, for a total investment of $18.16M at an average of $26.80 per share.
And on Monday, Director John T. Raymond bought $700,000 worth of Plains All American Pipeline, L.P. ( PAA ), buying 25,000 shares at a cost of $28.00 each. This buy marks the first one filed by Raymond in the past twelve months. Plains All American Pipeline, L.P. is trading up about 3.1% on the day Thursday. So far Raymond is in the green, up about 12.5% on their buy based on today's trading high of $31.49.