Insider buying

Insider buying is when a company's executives, directors, or other high-level employees purchase shares of their own company's stock. You'll see these transactions reported in SEC filings (official documents companies file with regulators), and they matter because insiders usually have deep knowledge about the company's health and prospects. When insiders buy their own stock with their own money, it can signal they believe the company is undervalued or headed in a good direction—though it's not a guarantee. For example, if a tech company's CEO buys 10,000 shares at the current market price, some investors see it as a vote of confidence. Just remember: insider buying is one data point among many, not a crystal ball.