Wall street wants 'show me' from EDS according to many analysts! Mr. Hunt one of the directors keeps buying the stock? A story I like to share with the thread.//// Does this bode well for EDS shares, and should investors follow the director's lead?
.....from news..
Last June, Electronic Data Systems issued a warning about second-quarter earnings that sent the company's shares down 25 percent in a single day--their steepest one-day drop ever.
But as a number of analysts issued downgrades and its shares languished in the $40 range in the following two months, one EDS director was busy buying $14.3 million worth of shares--his first purchase in four years.
Ray Hunt, a director of the information technology outsourcing company since 1996, purchased 334,750 shares at $42.70 on July 31. That purchased added to the 23.5 million shares held by Hunt, chairman and chief executive of Hunt Consolidated and Hunt Oil.
Although the purchase paled in comparison to his already substantial holding, some analysts took note.
"This is the first purchase Hunt has made since 1996...and the size of his vote is fairly large," said Craig Columbus, president of insider-tracking firm ScoreLab.
Hunt declined to answer questions about the purchase, a representative for Hunt Oil said. >>
Zachary |
