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There are many different strategies to trade stocks and one of them is to find insider trading of stocks. When corporate insiders trade in their own securities, they must report their trades to the Securities and Exchange Commission (SEC), usually within a few business days of the trade. Insider trading cannot be based on material non-public information. However, many 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 buy transactions (market cap greater than $200 million) filed at the Securities and Exchange Commission on September 04, 2012. I have also included the key financial metrics for the first three companies. You can use this list as a potential starting point for your analysis.

Definition of Insider: Corporate insiders are either a company's officers, directors, or any beneficial owners of more than ten percent of a class of the company's equity securities registered under Section 12 of the Securities Exchange Act of 1934.

1. Regis Corporation (RGS): Regis Corporation owns, operates, and franchises hairstyling and hair care salons in the United States, the United Kingdom, Canada, Puerto Rico, and internationally. It offers hair-cutting and styling, including shampooing and conditioning; hair coloring; and waving to men, women, and children. Regis Corp has a market cap of $1.05 billion and is currently trading around $18.21 with a 52-week range of $12.71 to $18.91. The stock has gained 10.03% year to date.

According to SEC filings on September 04, 2012, Regis Corp had three insiders (beneficial owners from Birch Run Capital Partners LP, Walnut BRC LP and Torch BRC LP) combined purchase a total of 1,655,649 shares at a total value of $29,856,981. Please refer the footnotes from Form 4 for more information on the ownership. Multiple insider purchases are usually a positive sign.

Recently, Regis Corp has declared a regular quarterly dividend of 6 cents per share and the dividend is payable on September 19, 2012, to shareholders of record as of September 5, 2012. Over the past three months, there have been a total of 11 insider transactions with 10 Buy transactions. The key financial metrics for Regis Corp are given below:

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

2. EverBank Financial Corp (EVER): EverBank Financial Corp operates as the holding company for EverBank that provides various financial products and services in the United States. EverBank Financial Corp has a market cap of $1.38 billion and is currently trading around $11.88 with a 52-week range of $9.40 to $12.59. The stock has gained 12.08% year to date.

According to SEC filings on September 04, 2012, Alok Singh (Director) purchased a total of 967,076 shares at a total value of $11,667,772. Alok Singh is a Managing Director of New Mountain Capital LLC which is an affiliate of New Mountain Partners III LP. Over the past three months, there have been a total of one insider Buy transaction. The key financial metrics for EverBank Financial Corp are given below:

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

3. VMware, Inc (VMW): VMware provides virtualization and virtualization-based cloud infrastructure solutions in the United States and internationally. VMware has a market cap of $37.50 billion and is currently trading around $87.94 with a 52-week range of $74.69 to $118.79. The stock has gained 5.71% year to date.

According to SEC filings on September 04, 2012, EMC Corp (Beneficial Owner) purchased a total of 44,993 shares (Class A Common Stock) at a total value of $3,998,980. Over the past three months, there have been a total of 21 insider transactions with 15 Buy transactions. The key financial metrics for VMware are given below:

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

Other notable insider buy transactions (minimum transaction value of $200,000) filed with the SEC on September 04, 2012, are as follows:

4. ServiceSource International Inc (SREV): ServiceSource International, Inc. manages the service contract renewals process of maintenance, support and subscription agreements for technology and technology-enabled healthcare, and life sciences companies. ServiceSource International Inc has a market cap of $702.66 million and is currently trading around $9.38 with a 52-week range of $7.73 to $18.45. The stock has fallen 40.22% year to date. According to SEC filings on September 04, 2012, Reynolds Barry D (Director) purchased a total of 349,704 shares at a total value of $3,236,736. Please refer the footnotes from Form 4 for more information on the ownership.

5. Forest Laboratories, Inc (FRX): Forest Laboratories develops, manufactures, and sells branded forms of ethical drug products primarily in the United States and Europe. Forest Laboratories has a market cap of $9.32 billion and is currently trading around $35.06 with a 52-week range of $28.47 to $36.44. The stock has gained 15.86% year to date. According to SEC filings on September 04, 2012, Icahn Carl C (Beneficial Owner) purchased a total of 86,848 shares at a total value of $3,008,008. Please refer the footnotes from Form 4 for more information on the ownership. Since August 21, 2012, Carl Icahn has purchased a total of 3,724,102 shares of Forest Laboratories.

6. Rosetta Stone Inc (RST): Rosetta Stone provides technology-based language-learning solutions in the United States and internationally. Rosetta Stone has a market cap of $246.26 million and is currently trading around $11.71 with a 52-week range of $6.55 to $14.69. The stock has gained 53.47% year to date. According to SEC filings on September 04, 2012, Rosetta Stone had two insiders combine purchased a total of 53,501 shares at a total value of $614,726. These shares were purchased from Adams Tom Peder Herman, Chairman of the Board of Directors of Rosetta Stone.

7. Applied Materials, Inc (AMAT): Applied Materials provides manufacturing equipment, services, and software to the semiconductor, flat panel display, solar photovoltaic (PV), and related industries worldwide. Applied Materials has a market cap of $14.53 billion and is currently trading around $11.74 with a 52-week range of $9.70 to $13.94. The stock has gained 9.62% year to date. According to SEC filings on September 04, 2012, Parker Gerhard H (Director) purchased a total of 50,000 shares at a total value of $576,500.

8. Sonus Networks, Inc (SONS): Sonus Networks provides infrastructure and subscriber solutions. It offers session border control, voice over Internet protocol (VoIP), and access and VoIP media gateway solutions that allow the delivery of voice and multimedia sessions over IP networks. Sonus Networks has a market cap of $512.38 million and is currently trading around $1.83 with a 52-week range of $1.56 to $3.11. The stock has fallen 23.75% year to date. According to SEC filings on September 04, 2012, Empire Capital Management LLC (Beneficial Owner) purchased a total of 296,082 shares at a total value of $570,240. Please refer the footnotes from Form 4 for more information on the ownership. Since May 03, 2012, Empire Capital Management LLC has purchased a total of 8,246,231 shares of Sonus Networks.

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

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. The information and data is believed to be accurate, but no guarantees or representations are made.

Source: Insiders Bought These Shares On September 4