6 Stocks That Insiders Are Buying And Selling October 2011

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Includes: AVGO, AZO, HUTC, OPK, SBH, VMW
by: Dividend Screen

Insider trades are unfair, illegal and they damage the financial system. The good thing for a normal investor is that insider trades must be published and they have a signal effect. They indicate that insiders, those who probably know the company best, are confident or skeptical about the future success. This intention could be used for one's own asset allocation. However, I screened the latest insider transactions from last month and aggregated the sales and buys of a company. Here are the 3 top stocks with biggest insider buys and sales from last month:

Sales:

1. Avago Technologies (NASDAQ:AVGO) is acting within the broad line semiconductor industry. The company has a market capitalization of $8.3 billion, generates revenues in an amount of $415.0 million and a net income of $653.7 million. It follows price/earnings ratio is 15.0, price/sales 3.6 and price/book ratio 4.4. The stock was sold in an amount of $643.2 million.

2. AutoZone (NYSE:AZO) is acting within the auto parts stores industry. The company has a market capitalization of $13.6 billion, generates revenues in an amount of $8.1 billion and a net income of $849.0 million. It follows price/earnings ratio is 16.7, price/sales 1.7 and price/book ratio is not calculable due to a negative book value. The stock was sold in an amount of $465.0 million.

3. Sally Beauty Holdings (NYSE:SBH) is acting within the specialty retail industry. The company has a market capitalization of $3.6 billion, generates revenues in an amount of $3.2 billion and a net income of $201.4 million. It follows price/earnings ratio is 17.8, price/sales 1.1 and price/book ratio is not calculable due to a negative book value. The stock was sold in an amount of $346.7 million.

Buys:

1. HUGHES Telematics (OTC:HUTC) is acting within the voice and data communications and services industry. The company has a market capitalization of $479.1 million, generates revenues in an amount of $40.3 million and a net loss of $89.6 million. It follows price/earnings ratio is not calculable, price/sales 13.0 and price/book ratio is also not calculable due to a negative book value. The stock was bought in an amount of $20.5 million.

2. VMware (NYSE:VMW) is acting within the technical system and software industry. The company has a market capitalization of $42.2 billion, generates revenues in an amount of $3.5 billion and a net income of $643.4 million. It follows price/earnings ratio is 66.7, price/sales 11.9 and price/book ratio 9.5. The stock was bought in an amount of $19.2 million.

3. Opko Health (NYSEMKT:OPK) is acting within the medical appliances and equipment industry. The company has a market capitalization of $1.6 billion, generates revenues in an amount of $40.3 billion and a net loss of $22.0 million. It follows price/earnings ratio is not calculable, price/sales 39.3 and price/book ratio 11.7. The stock was bought in an amount of $17.5 million.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.