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Old 12-15-2005, 07:36 AM
Sniper Sniper is offline
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Join Date: Jun 2005
Posts: 704
Default Re: ATVI (Activision) going to rebound?

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[ QUOTE ]
Insider transactions
In the last 6 months, there have been no insider purchases, and there have been 13 insider sales for a total of 3 million shares.

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I just want to point out that this can be an extremely misleading statistic. Insiders don't always sell becase they don't like the company. Lots of these guys have nearly their entire net worth tied up in the stock. Maybe he wants to buy a house or a boat or pay for his kids wedding or college. Who knows? It's not always a bad thing though.

Edit to say that due to Eliot Spitzer it's probably a bad thing much less often now than it used to be since insiders are likely going to be terrified to sell if it could be seen as dishonest.

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I'm sure that you noted, in this case, I did not give an opinion on the impact of the insider transactions... merely stated the facts! It is useful information to have when looking at a company!
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  #2  
Old 12-15-2005, 08:02 AM
Evan Evan is offline
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Join Date: Jun 2004
Location: sthief09: im kinda drunk from the nyquil
Posts: 1,562
Default Re: ATVI (Activision) going to rebound?

[ QUOTE ]
[ QUOTE ]
[ QUOTE ]
Insider transactions
In the last 6 months, there have been no insider purchases, and there have been 13 insider sales for a total of 3 million shares.

[/ QUOTE ]

I just want to point out that this can be an extremely misleading statistic. Insiders don't always sell becase they don't like the company. Lots of these guys have nearly their entire net worth tied up in the stock. Maybe he wants to buy a house or a boat or pay for his kids wedding or college. Who knows? It's not always a bad thing though.

Edit to say that due to Eliot Spitzer it's probably a bad thing much less often now than it used to be since insiders are likely going to be terrified to sell if it could be seen as dishonest.

[/ QUOTE ]

I'm sure that you noted, in this case, I did not give an opinion on the impact of the insider transactions... merely stated the facts! It is useful information to have when looking at a company!

[/ QUOTE ]
I know you didn't say it was bad, but I think that's a logical conclusion that most people would draw if they didn't know any better. I'm not sure how useful it is though. Insider buying is a more reliable indicator than insider selling imo. I suppose it's worth looking at, but it requires a lot more background info before it's meaningful.
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