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 Lyft, a filing with the SEC revealed that on Friday, Chief Executive Officer John David Risher purchased 100,000 shares of LYFT, for a cost of $11.46 each, for a total investment of $1.15M. Risher was up about 9.1% on the buy at the high point of today's trading session, with LYFT trading as high as $12.51 in trading on Tuesday. Lyft is trading up about 6.9% on the day Tuesday.
And at South Plains Financial, there was insider buying on Friday, by Director Noe G. Valles who purchased 23,000 shares at a cost of $26.88 each, for a total investment of $618,240. Before this latest buy, Valles purchased SPFI at 2 other times during the past year, for a total cost of $1.53M at an average of $27.90 per share. South Plains Financial is trading up about 0.1% on the day Tuesday. Thus far Valles is down about 0.8% on the purchase, with shares trading as low as $26.67 at last check today.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
