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 Thursday, Micron Technology ( MU )'s CFO & VP, Finance, Ernest E. Maddock, made a $87,500 purchase of MU, buying 5,000 shares at a cost of $17.50 a piece. Maddock was up about 13.4% on the buy at the high point of today's trading session, with MU trading as high as $19.84 in trading on Tuesday. Micron Technology is trading up about 10.3% on the day Tuesday. This buy marks the first one filed by Maddock in the past twelve months.
And also on Thursday, Director P. Frank Kozik purchased $8,102 worth of Peoples Financial Services Corp ( PFIS ), purchasing 200 shares at a cost of $40.51 each. Before this latest buy, Kozik made one other buy in the past twelve months, purchasing $9,875 shares at a cost of $39.50 a piece. Peoples Financial Services Corp is trading off about 0.6% on the day Tuesday. Investors have the opportunity to bag PFIS even cheaper than Kozik did, with the stock changing hands as low as $39.93 at last check today which is 1.4% below Kozik's purchase price.
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