Stock Price Increase#
Insperity Inc. (NYSE:NSP) saw its shares rise by 5.6% in after-hours trading on Thursday. This surge followed a significant stock purchase by the company's Chairman and CEO, Paul Sarvadi.
CEO's Share Purchase Details#
Sarvadi bought a total of 201,987 shares of common stock between March 17 and March 19. According to a filing with the Securities and Exchange Commission, these purchases amounted to approximately $4.6 million based on the average prices at which the shares were bought.
Breakdown of Transactions#
The share purchases were made both directly and indirectly. On March 17, Sarvadi directly acquired 16,987 shares at prices ranging from $22.53 to $22.98 per share. After this purchase, he held a total of 474,670 shares directly. The majority of his purchases were made through Our Ship Limited Partnership, where he is the general partner. On March 18, this partnership bought 160,000 shares at an average price of $23.22 per share. The following day, it purchased an additional 22,991 shares at $23.57 and 2,009 shares at $23.93.
Total Share Ownership#
After completing these transactions, Sarvadi's indirect holdings through the partnership reached 997,912 shares. When combined with his direct holdings, his total ownership in Insperity now stands at approximately 1.47 million shares.
Insider Purchases as Confidence Signals#
Insider purchases, such as Sarvadi's, are often interpreted by investors as a sign of confidence in a company's future. Executives typically have access to in-depth information about their company's performance and outlook, making their stock purchases noteworthy.