Single Buy vs. Genuine Cluster
Insider buying alerts get treated as a single, uniform signal, but a single purchase and a genuine cluster of independent purchases carry very different informational weight — and the distinction is checkable in public filings well before it becomes a headline. The Surface Issue Stock-screening tools flag "insider buying" whenever any officer or director makes an open-market purchase, with no distinction between a routine, isolated transaction and a genuinely unusual pattern. That flattening is what makes the raw alert an unreliable signal on its own. The Structural Cause Insiders buy shares for reasons that often have nothing to do with a near-term view on the stock — personal financial planning, routine plan participation, diversification timing. A single purchase can't be distinguished from these ordinary reasons. Multiple, independent insiders buying within a short window is much harder to explain away as coincidence or routine planning. 144TICKJOURNAL · TR...
