Wachovia (WB-OLD) Director, Lanty Smith, is at it again.He followed up his 100,000 share purchase last week with another 37,000 share purchase on Wednesday (11/15). Since the end of August Smith has purchased almost $8 million dollars of Wachovia stock at prices between $38 and $48 a share. Smith now owns 220,000 shares of the bank.
The purchases make Smith the third largest individual shareholder at Wachovia.
Superinvestor Peter Lynch famously once said,
There are a multitude of reasons insiders sell shares that have nothing to do with the health or the future of the company. I can only think of one reason they would use their own money to buy shares, they think the share price is going up.
Wachovia insiders are placing big bets on the company and that is worth noting.