While few pay attention to this longer term value indicator, “Insider selling” is happening at a very high rate. As we have said before, this is not a timing indicator but rather a “longer term warning indicator” that many good performing stocks are at the high end of their price range potential. Last week, at the major US companies, officers and directors sold $452,000,000 of their personally owned shares of their own companies’stocks. During that same week, officers and directors bought about $21,000,000 of their own companies’ shares! It is quite a contrast isn’t it? In the prior week, it was heavily to the sell side with $386,000,000 of their shares sold with $15,000,000 bought.
What we still find worth mentioning is that there is very little selling whatsoever in the Canadian mining stocks. It is frustrating but we think that we are finishing up a major bottom for most mining stocks.