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Pastimes : Learning To Invest Correctly - A Shared Experience

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To: Reginald Middleton who wrote (48)7/27/1998 12:01:00 AM
From: Jeffrey L. Henken  Read Replies (3) of 253
 
How much importance do the other investors here place on insider buying or selling? I like to see heavy insider buying. I think it's one good way to at least identify some potential investment ideas.

I subscribe to the Insider Trading site and found some heavy insider buying in Medaphis(MEDA) recently:

biz.yahoo.com

Interestingly enough there was some discussion about high book values here tonight too. This stock actually sells below book value. Does that make it a good value?

Not necessarily, but the heavy insider buying would indicate that they feel it is, and that means something. Anytime an investor can buy at prices below a large group of insiders you are doing well. It might take six months but generally you will make money.

Heavy insider buying is one way to help find a good potential investment.

Regards, Jeff
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