Insider Buying.
From Bob Gabele's CDA/InvestNet Site
Medaphis Corp. (MEDA) - To look at it now, it's hard to imagine that Medaphis was once a $40 stock. Granted, that was 1996; however, just a few months back, the issue traded at more than twice what it does now. The most recent earnings reports were uneventful (in the context, that is, of previous revisions), lending hope to some that the issue might at very least stabilize a bit. Even the most optimistic, however, maintain that Medaphis is a longer-term story. Insiders, however, are locking in the lower prices now. From July 1 through July 7, six insiders purchased a total of 284,500 shares at $5.69-$6.63 per share. Chairman David McDowell purchased 119,000 shares. Not far behind, President, COO Allen Ricthie picked up 100,000 shares. Directors David Holbrooke and John Pope picked up 30,500 shares and 20,000 shares, respectively. Rounding out the activity, EVP, Counsel Randolph Hutto purchased 10,000 shares, and Director Christopher Tower purchased 5,000 shares. It is true that a number of the insiders purchasing shares are relatively new to the company, and as such provide limited track records by which to judge their recent activity. Even so, given the magnitude both of the recent price setback and the purchases themselves, these buys are difficult to overlook-especially in light of the absence of company influence and/or sponsorship. Medaphis Corporation provides healthcare information products and business management services, together with enabling technologies in selected industries. |
