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Insider Buy Insider Buy September 25, 2020

BURNS GORDON M purchased ~$222K in Compass Diversified stock

Compass Diversified (CODI)  ·  Data via SEC EDGAR Form 4

Verity Signals Research Published Updated

= insider buy date

90-day return

+13.0%

vs SPY +12.7%

CODI price after insider trade by BURNS GORDON M

Insider

BURNS GORDON M

Role

Transaction

Open-Market Purchase

Approx. Value

~$222K

Trade Date

Sep 25, 2020

Company

Compass Diversified

Ticker

CODI

Source

SEC EDGAR Form 4

Strong conviction signal

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

~$222K purchase

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

+13.0% in 90 days (S&P 500: +12.7%)

This trade beat the S&P 500 by 0.2 percentage points over 90 days. We track performance on every insider trade so you can see who consistently outperforms.

BG

How good is BURNS GORDON M at picking stocks?

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

See track record

On September 25, 2020, BURNS GORDON M — a corporate insider at Compass Diversified — filed a Form 4 with the SEC disclosing an open-market purchase of approximately ~$222K in Compass Diversified (CODI) 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, CODI returned +13.0% versus +12.7% 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 ~$222K
Insider role Insider
90-day return +13.0%
vs S&P 500 +0.2%

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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