There's an old saying on Wall Street about insider buying: there are many possible reasons to sell a stock, but only one reason to buy. Back on November 25, Avon Products, Inc.'s Director, V. Ann Hailey, invested $19,594.00 into 2,000 shares of AVP, for a cost per share of $9.80. Bargain hunters tend to pay particular attention to insider buys like this one, because presumably the only reason an insider would take their hard-earned cash and use it to buy stock of their company in the open market, is that they expect to make money.
In trading on Thursday, bargain hunters could buy shares of Avon Products, Inc. (NYSE: AVP) and achieve a cost basis 17.3% cheaper than Hailey, with shares changing hands as low as $8.10 per share. Avon Products, Inc. shares are currently trading up about 2.6% on the day. The chart below shows the one year performance of AVP shares, versus its 200 day moving average:
Looking at the chart above, AVP's low point in its 52 week range is $7.25 per share, with $15.80 as the 52 week high point — that compares with a last trade of $8.80. By comparison, below is a table showing the prices at which insider buying was recorded over the last six months:
Purchased | Insider | Title | Shares | Price/Share | Value |
---|---|---|---|---|---|
11/25/2014 | V. Ann Hailey | Director | 2,000 | $9.80 | $19,594.00 |
According to the ETF Finder at ETFChannel.com, AVP makes up 2.22% of the Guggenheim S&P 500 Equal Weight Consumer Staples ETF (AMEX: RHS) which is trading up by about 0.3% on the day Thursday.
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