For those who think insider buying is good sign this a bit of bad news
@LizAnnSonders
Corporate buybacks picking up but company officers are showing less enthusiasm…in first 2 weeks of new year, total of 1,000 insiders sold stock while only 128 made purchases—sending sell-to-buy ratio to its highest in data going back to 1988 @WashServ @Bloomberg
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
For those who think insider buying is good sign this a bit of bad news
@LizAnnSonders
Corporate buybacks picking up but company officers are showing less enthusiasm…in first 2 weeks of new year, total of 1,000 insiders sold stock while only 128 made purchases—sending sell-to-buy ratio to its highest in data going back to 1988 @WashServ @Bloomberg
Mmh ... never thought that insiders are better in reading the general market mood than anybody else. Might have more to do with insiders overspending their Christmas budgets (like many others) .... who knows?
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"Prediction is very difficult, especially about the future" (Niels Bohr)
Mmh ... never thought that insiders are better in reading the general market mood than anybody else. Might have more to do with insiders overspending their Christmas budgets (like many others) .... who knows?
...but aren't they thinking their own company prospects (rather than market's per see)
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
In that case it would be relevant which companies have been sold ... and whether the insiders acted consistently. Do we know that?
No idea what it means but it came with this chart
Many are obsessed with insider buying is great stuff but insider selling is bad ....so much so many seem to follow what insiders do. Just my observation so I thought what happening in US could be an useful indicator.
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
Just keep in mind the old saying,"There are many reasons why insiders sell,but only one reason they buy."
Very good reminder indeed, Percy!
Have observed too many occasions over the years of executives & management selling (for seemingly perfectly good reasons) to see the sp crashing down later. Hence, I always take heed when there’s insider selling.
Jeremy Grantham a old time guru. Recent piece of his “Waiting for the Last Dance” is quite good.
Probably right when he says -
The one reality that you can never change is that a higher-priced asset will produce a lower return than a lower-priced asset. You can’t have your cake and eat it. You can enjoy it now, or you can enjoy it steadily in the distant future, but not both – and the price we pay for having this market go higher and higher is a lower 10-year return from the peak.”
But some (maybe many) would say he’s an old guy who just doesn’t get it that this time is different.
Originally Posted by Balance
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