
Most investors are likely familiar with the adage, "actions speak louder than words." That saying certainly applies to the executives and other corporate insiders buying and selling shares of their own company's stock.
It's part of an executive's job to paint a rosy public picture of the future of a company, but a CEO's bullish words may not be an accurate reflection of how he or she truly feels about a stock. However, if company insiders are backing up positive words with insider buying, it can be a confirming indication that management is truly bullish enough about the future to put their own skin in the game.