When insiders buy shares of their own company, it often signals a vote of confidence in the company’s future prospects or that they see the stock as undervalued. While insider purchases shouldn’t be the sole factor in your investment decisions, they can add weight to your research and potentially present opportunities to go long on a stock.
Here’s a closer look at some recent notable insider purchases:
American Public Education (APEI)
325 Capital GP, LLC acquired 20,000 shares of American Public Education at an average price of $16.63, spending approximately $332,600. This purchase came on the heels of the company reporting worse-than-expected second-quarter financial results on August 6th. American Public Education provides online and on-campus postsecondary education, including various undergraduate and graduate degree programs.
Inhibrx Biosciences (INBX)
Kimberly Manhard, a director at Inhibrx Biosciences, purchased 10,000 shares at an average price of $13.98, spending around $139,800. This purchase followed the company’s announcement of $125.48 in second-quarter earnings per share on August 13th. Inhibrx Biosciences is a clinical-stage biopharmaceutical company focused on developing novel biologic therapeutic candidates using its proprietary protein engineering platforms.
Franklin Resources (BEN)
Charles B Johnson, a 10% owner of Franklin Resources, bought 100,000 shares at an average price of $19.84, spending approximately $1.98 million. Franklin Resources’ President and CEO also made a purchase, acquiring 12,700 shares. These purchases came after Barclays analyst Benjamin Budish initiated coverage on Franklin Resources with an Underweight rating and a $20 price target on August 27th. Franklin Resources provides investment services to both individual and institutional investors.
Universal Display (OLED)
Lawrence Lacerte, an insider at Universal Display Corporation, purchased 1,000 shares at an average price of $187.99, spending $187,990. This purchase followed the company’s announcement of worse-than-expected second-quarter financial results on August 1st. Universal Display Corp focuses on researching, developing, and manufacturing organic light-emitting diode (OLED) technologies for use in displays for a variety of applications, including mobile phones, tablets, televisions, wearables, and more.
These insider purchases highlight the potential opportunities that exist within the stock market. However, it’s important to conduct thorough research and consult with a financial advisor before making any investment decisions.
