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Technology Stocks : Aware, Inc. - Hot or cold IPO?
AWRE 2.010-3.4%Dec 22 3:59 PM EST

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To: MangoBoy who wrote (1938)8/19/1997 12:32:00 PM
From: trouthead   of 9236
 
Yes 144's do indicate insider selling, but they are not, by themselves indicators of trouble. There are many reasons insiders sell. In the research I have done the stock price goes up more often after insider selling than it goes down. You can check this at Insider Trading web site. I picked ten companies at random from the list of 144 filings and compared the before and after price. In all ten cases the price was higher.

I think it would be very difficult for insiders to sell during a time when the company was about to announce bad results. This is what spurs lawsuits. And though lawsuits do occur they are rare.

So what does it mean that there are 60 + filings to sell? Keep your eyes open. It could mean they do not have faith in the future of the company. It could mean they know some good news is coming and they want to be in a position to take advantage of it. It could mean they just need some cash.

IMHO, of course.
Thanks,
bps
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