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Insider Buy CEO Buy September 14, 2020

Vetter Thomas Alex purchased ~$102K in Cars.com Inc. stock

Cars.com Inc. (CARS)  ·  CEO and President  ·  Data via SEC EDGAR Form 4

Verity Signals Research Published Updated

= insider buy date

90-day return

+52.2%

vs SPY +8.2%

CARS price after insider trade by Vetter Thomas Alex

Insider

Vetter Thomas Alex

Role

CEO and President

Transaction

Open-Market Purchase

Approx. Value

~$102K

Trade Date

Sep 14, 2020

Company

Cars.com Inc.

Ticker

CARS

Source

SEC EDGAR Form 4

Strong conviction signal

Scored above average across multiple factors. Roughly 15% of insider trades qualify as Strong.

~$102K purchase

A meaningful investment of personal capital. The average insider purchase is around $150K, putting this in the typical range for serious positions.

CEO and President

CEOs have the deepest knowledge of company operations. Academic research shows CEO purchases outperform other insider trades by a wide margin.

+52.2% in 90 days (S&P 500: +8.2%)

This trade beat the S&P 500 by 44.0 percentage points over 90 days. We track performance on every insider trade so you can see who consistently outperforms.

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How good is Vetter Thomas Alex at picking stocks?

Full track record: win rate, average return, and performance vs S&P 500

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On September 14, 2020, Vetter Thomas Alex — CEO and President of Cars.com Inc. — filed a Form 4 with the SEC disclosing an open-market purchase of approximately ~$102K in Cars.com Inc. (CARS) stock.

Under Section 16(a) of the Securities Exchange Act of 1934, corporate insiders must report all open-market stock transactions to the SEC within two business days. These filings — known as Form 4s — are publicly available on the SEC's EDGAR database. VeritySignals filters and scores the full Form 4 stream to surface high-conviction signals like this one.

In the 90 days following this trade, CARS returned +52.2% versus +8.2% for the S&P 500 over the same period.

Full Conviction Analysis

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All data sourced from publicly available SEC Form 4 filings via EDGAR · Not financial advice · Past performance does not guarantee future results.

Signal strength Strong
Trade size ~$102K
Insider role CEO and President
90-day return +52.2%
vs S&P 500 +44.0%

What is this?

When company executives buy or sell their own stock, they must report it to the SEC within 2 days. These public filings reveal what the people who know the company best are doing with their own money.

Why does it matter?

Insiders can sell for many reasons (taxes, diversification, expenses), but they generally only buy for one: they think the stock is going up. That's why insider purchases are more predictive than sales.

What makes a trade "strong"?

We score trades on 15+ factors: the insider's role (CEO > director), trade size relative to their salary, whether other insiders also bought (clusters), and historical accuracy of the insider.

Read our full methodology →

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