Academic studies have shown that insider trading is most profitable when several insiders buy around the same time. A study by University of Illinois professor Josef Lakonishok and his student Inmoo Lee shows that insider purchases generate more than 7 % per year
in excess returns above index funds when there are several insiders purchasing. Last week we let you know about one company with insider purchases
. Hercules Technology Growth Capital Inc (HTGC) closed at $10.36 the Friday before we reported the insider purchase. During the past week the stock increased by 4.3% beating the S&P 500 index, which increased by 1.1%. This is the fifth week in a row our list of insider purchases has beaten the S&P 500 index. Seventeen of the 22 stocks that made our list managed to beat the S&P 500 index.
Insider Monkey, your source for free insider trading
data, compiled the list of companies with at least 3 insiders buying with the latest purchase made in late November. Here are the most recent stocks insiders are buying like crazy
1. Winmark Corp (WINA): Winmark Corp insiders have been buying
since December 22nd. The stock closed at $33.16 last Friday.
2. Trailer Bridge Inc (TRBR): Trailer Bridge
insiders have been both buying and selling around $3. Douglas E. Schimmel
purchased 30,000 shares at $2.91 on Thursday. The stock closed at $2.94 on Friday.
3. Cogent Communications Group Inc (CCOI): There have been recent insider purchases at Cogent Communications
around $14 per share. On Friday the stock closed at $13.74- less than what the insiders paid for it.
4. Diamond Foods Inc (DMND): This stock had significant insider purchases 3 months ago when it was trading around $41. More recently Diamond Foods'
Chairman and CEO Michael J Mendes
purchased additional shares below $52. On Friday, the stock closed at $52.30.
5. EQT Corp (EQT): There are recent insider purchases in EQT Corp
. The largest transaction was two months ago at $38.38, recent transactions occurred below $45. On Friday, the stock closed at $45.62.