From the Sept.24th issue of Vickers (no relation) Weekly Insider, published by ARGUS Research.
"Now to our portfolios. As promised, we did some homework on stocks that seemed to show promise amidst the gloom. We settled on a candidate with a past that lands it squarely in our Risk Portfolio. Insiders at Syquest Technologies have demonstrated what appears to be a total about-face. Based on that we will pick up the shares. Frankly, the amount of shares being bought by insiders is not as high as we would normally like--but the reversal seems substantial. In 1994, four insiders showed activity, all selling. In 1995, 19 sellers existed to one buyer. And in 1996, only two insiders ventured out, both to sell. Over that time, the share price slid from $18 to $1 and change, and EPS went from $1.23 to ($12.38). But suddenly we see 11 buyers this year and no sellers, with EPS estimates showing a recovery to the ($3.50) range. And the share price has moved from $1 and change to just over $3.00. We'll see if this maker of data storage devices has indeed turned the corner on hard times."
I must add that as a long term subscriber and follower of insider trading, the signals should not be ignored. David Coleman's Risk Portfolio has just about tripled the return of the Dow in the almost 10 years since its inception.
Dwight |
