Kathy Schwiff of Dow Jones Newswires reports Thursday that insiders at online financial news site TheStreet.com have been purchasing its shares. Some on Wall Street believe that’s a sign the stock price will rise.
Schwiff writes, “Cramer supplied his viewers with a test case in the past month, spending $302,000 on 100,000 shares of TheStreet.com, the financial media company that he founded and chairs. Other insiders bought a total of 32,500 shares for $97,200 in the past six weeks.
“The recent purchases by Cramer, a former hedge-fund operator who hosts the CNBC program ‘Mad Money,’ brought his total direct and indirect holdings to 4.3 million shares, about 13.5% of the total, according to data provider The Washington Service. Those were his first purchases of the company’s shares in six years.
“Other buyers were TheStreet.com’s new chief executive, Daryl Otte, who bought 5,000 shares, and two directors, Martin Peretz and William Gruver, who bought a total of 27,500 shares.
“‘I think the prospects for the company are very good,’ said Peretz, editor-in-chief of the New Republic magazine and a director of TheStreet.com since it was founded in 1996.”
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