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There are many different strategies to trade and one of them is to look for insider purchases of stocks. Any insider trading from corporate officers, key employees, vice presidents, directors, senior management or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. Legal insider trading cannot be based on material non-public information; however, most investors believe that corporate insiders may have better insights into the growth of a company and its proceedings.

In this article, I will focus on notable insider share purchases filed at the Securities and Exchange Commission on July 03, 2012. I have also included the key financial positions of each company and insider trading summaries for three-month and 12-month periods. Use this list as a potential starting point for your analysis.

1. MannKind Corporation (NASDAQ:MNKD):MannKind Corporation, a development stage biopharmaceutical company, engages in the discovery, development, and commercialization of therapeutic products for diabetes and cancer in the United States. MannKind has a market cap of $431.30 million and is currently trading around $2.57 with a 52-week range of $1.57 to $3.99. According to SEC filing on July 03, 2012, MannKind had two insiders combine purchased a total of 31,251,054 shares at a total value of $77,189,555. Multiple insider purchases are usually a positive sign. Over the past 3 months, there have been a total of 7 insider transactions and all of them are Buy transactions. Key financial metric for MannKind is given below:

The following chart provides the insider trading summary for 3 month and 12 month periods.

2. Opko Health Inc. (NYSE:OPK): Opko Health, Inc., a pharmaceutical and diagnostics company, engages in the discovery, development, and commercialization of novel and proprietary technologies primarily in the United States, Chile, and Mexico. Opko has a market cap of $1.42 billion and is currently trading around $4.80 with a 52-week range of $3.49 to $5.85. According to SEC filing on July 03, 2012, Frost Phillip MD ET AL (CEO & Chairman) purchased a total of 50,000 shares at a total value of $232,406. Over the past 3 months, there have been a total of 56 insider transactions and all of them are Buy transactions. Key financial metric for Opko is given below:

The following chart provides the insider trading summary for 3 month and 12 month periods.

3. Methode Electronics Inc. (NYSE:MEI): Methode Electronics, Inc. engages in the design and manufacture of electro-mechanical devices in North America, Europe, and the Asia-Pacific. Methode Electronics has a market cap of $321.42 million and is currently trading around $8.68 with a 52-week range of $6.94 to $11.42. According to SEC filing on July 03, 2012, Methode Electronics had 4 insiders combine purchased a total of 9,088 shares at a total value of $71,576. Multiple insider purchases are usually a positive sign. Over the past 3 months, there have been a total of 16 insider transactions and all of them are Buy transactions. Key financial metric for Methode Electronics is given below:


The following chart provides the insider trading summary for 3 month and 12 month periods.

Sources: Some of the data is sourced from Google Finance, Nasdaq,Finviz, Fidelity and SEC.gov.

Additional Disclosure: I change my positions very frequently and may initiate either long or short positions in the above mentioned stocks at any time.

Disclaimer: I am not a registered investment advisor and do not provide specific investment advice. The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock you should do your own research and reach your own conclusion. It is up to investors to make the correct decision after necessary research.

Source: Notable Insider Buys Filed On July 3