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.
On Friday, Worthington Industries ( WOR )'s Director, John B. Blystone, made a $522,000 buy of WOR, purchasing 20,000 shares at a cost of $26.10 each. Worthington Industries is trading up about 1.1% on the day Tuesday. Before this latest buy, Blystone made one other purchase in the past twelve months, buying $243,307 shares at a cost of $24.33 a piece.
And at Darden Restaurants ( DRI ), there was insider buying on Friday, by Director James P. Fogarty who purchased 2,900 shares for a cost of $70.50 each, for a trade totaling $204,450. Darden Restaurants is trading off about 0.2% on the day Tuesday. Bargain hunters have the opportunity to buy DRI even cheaper than Fogarty did, with the stock changing hands as low as $67.55 in trading on Tuesday -- that's 4.2% under Fogarty's purchase price.