Wachovia Insiders Still Buying

Tags: wachovia
20 Nov 5:05am
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Wachovia (WB) 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






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ToddSullivan

A Massachusetts based value investor, I look for companies whose current valuation is at a discount to their true value. When I purchase a stock, my typical holding period is several years. I consider buying a stock purchasing a piece of a business. I am confident once I make a decision to buy that eventually the market as a whole will recognize the true value of the business and value it accordingly. It may take 1 month, 6 months or a year, but if I buy it at enough of a discount to its true value my results will be (and have been) superior to the market as a whole. Of all the disparate investing disciplines, value investing has stood the test of time. The great investors of have all been value investors. Warren Buffett, Ben Graham, Bill Ruane (Sequoia Fund), Bill Miller and Wally Weitz, all have consistently outperformed the market for decades by using various forms of value investing. Currently I am a contributing writer to Seeking Alpha, Vinvesting.com, The Stock Masters and Value Investing News. Posts have been reprinted in The Wall St. Journal, Yahoo Finance, Google Alerts, Google Finance, TheStreet.com. 24/7 Wall St. and Topix.net.