Although it’s a nice gesture for the CEO or the corporate president with the million-dollar salary to buy a few thousand shares of the company stock, it’s more significant when employees at the lower echelons add to their positions. If you see someone with a $45,000 annual salary buying $10,000 worth of stock, you can be sure it’s a meaningful vote of confidence. That’s why I’d rather find seven vice presidents buying 1,000 shares apiece than the president buying 5,000.
