SZYM insider buying

Investment Analysis Clubs Saul’s Investing Discussions
1

There was a bit of excitement on the SZYM board about an insider purchase. I wrote a response, which I am reposting here:

Yes, Jerry Fiddler, a Board Member bought 80,000 shares, for $216,000 – thus increasing his stake by all of …(drum rolls here), all of 3% to 2,492,000.

He’s the ONLY insider to buy a single share since the big crash in the stock price. No one else has been tempted to buy a single share.

Before that, the last trades were in September when the CEO, General Counsel, CFO, and the Chief Technology Officer, together SOLD a total of 245,000 shares for $2,073,024 at an average price of about $8.50. Sure puts that little $216,000 purchase in perspective, doesn’t it? And this is when they were reassuring us that everything was going just fine with the company. Gives you lots of faith in the honesty of management. Yep. I’ll run out and buy some more shares to push the price up so they can sell some more.

Oh, and by the way, they had sold about $448,000 more the month before, in August, at about $9.25

Oh, and about $1,880,000 more in July, at $9.90!!!

Gee, I’m so excited about that $216,000 purchase! It gives me such confidence in management. I can’t wait to run out and buy some too!

Saul

PS - If you add it up, that $216 thousand purchase comes to just over ONE TWENTIETH of the $4.4 million that they sold.

4 Likes
2

Considering you brought Audio Eye to the board touting it as the NEXT BIG THING, I think you should cut some slack to someone professing excitement about a particular company.

5 Likes
3

Considering you brought Audio Eye to the board touting it as the next big thing…

Boy was I wrong about that one! However, it was always presented as extremely risky. And, I don’t see any relationship at all to my post on the huge amount of SZYM insider selling, which was posted to advise members of this board NOT to get excited about a tiny insider buy.
Saul

4

Just not sure why you are bashing or mocking folks (insiders in this case) who are selling high and buying low.

You regularly post about doing the same thing yourself.

p.s. SZYM up 18% AIT.

1 Like
5

Just not sure why you are bashing or mocking folks (insiders in this case) who are selling high and buying low.

Maybe you didn’t actually read my post. I wasn’t pointing out that they were selling high and buying low. I was pointing out that they had sold high (after telling us that all was well with the company, so that we would buy the shares they were selling), and HAVE NOT bought back low. That’s the whole point! Even now that the stock is low, they don’t think enough of it to buy it back!

Sorry you are having such a bad day.

Saul

3 Likes
6

And I hope this will be my last post on this subject, but the insider trade site points out that Insider Sales come to $20.0 million and Insider Buys come to $0.3 million. So if you want to buy, go ahead, but don’t buy because of perceived insider buys.

Saul

2 Likes
7

Until I noticed this thread, I had been blissfully unaware of SZYM. So I did a quick look at their profile and some numbers. Wow! I must say it appears that they are into some pretty exciting chemistry. And the stock popped more than 15% today. I’m not sure why, it appears to be due to the fact that they lost $0.02 less than the analysts expected them to lose. It’s awfully exciting when a company is expected to lose $0.47/share and then they surprise everyone by only losing $0.45/share. Yahoo! Eureka! (add your own expletive here).

Well, now I’m “up to speed” on SZYM (or maybe not). But I think I already know everything I need to know.

Yawn . . .

1 Like