As the saying goes, there are many possible reasons for an insider to sell a stock, but only one reason to buy -- they expect to make money. So let's look at two noteworthy recent insider buys.
At Valeant Pharmaceuticals International (VRX), a filing with the SEC revealed that on Friday, EVP, Chief Financial Officer Robert L. Rosiello bought 7,875 shares of VRX, at a cost of $254.28 each, for a total investment of $2.00M. Valeant Pharmaceuticals International is trading up about 0.8% on the day Tuesday. Before this latest buy, Rosiello made one other buy in the past twelve months, purchasing $3M shares for a cost of $232.51 each.
And at Enterprise Products Partners (EPD), there was insider buying on Monday, by Chief Operating Officer AJ Teague who bought 35,925 shares at a cost of $28.38 each, for a trade totaling $1.02M. This buy marks the first one filed by Teague in the past twelve months. Enterprise Products Partners is trading up about 0.7% on the day Tuesday. Investors have the opportunity to snag EPD even cheaper than Teague did, with the stock changing hands as low as $27.01 in trading on Tuesday -- that's 4.8% under Teague's purchase price.
