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 cash to make a purchase, is that they expect to make money. Today we look at two noteworthy recent insider buys.
At Connecture, a filing with the SEC revealed that on Monday, Director Ezra Perlman purchased 1,550,286 shares of CNXR, for a cost of $1.27 each, for a total investment of $1.98M. So far Perlman is in the green, up about 78.9% on their purchase based on today's trading high of $2.28. Connecture is trading down about 3.5% on the day Thursday. This purchase marks the first one filed by Perlman in the past year.
And at Ambac Financial Group, there was insider buying on Tuesday, by Chief Executive Officer Tavakoli Nader who bought 38,855 shares for a cost of $15.98 each, for a trade totaling $620,896. Before this latest buy, Nader bought AMBC on 7 other occasions during the past year, for a total cost of $2.68M at an average of $14.49 per share. Ambac Financial Group is trading up about 0.8% on the day Thursday.