Insider buying activity can be a valuable metric for investors looking to follow the “smart money” with their investing capital. When key decision-makers - including company officers, directors, and shareholders of 10% or more - choose to buy company stock with their own money, it typically means they think the stock price is going higher.
Since these well-placed company insiders presumably have a greater insight into operational challenges, strategies, and financials, their vote of confidence in the stock can carry considerable weight. That said, here's a closer look at one stock that just scored an insider buy for the first time in over a year, with the purchase valued around $2 million.
