"On November 17, 2011, the Compensation Committee of the Board of Directors approved changes to the employment arrangements of certain named executive officers to increase severance periods in the event of termination without cause, as follows: (i) David P. Tusa (from 12 months to 18 months); (ii) Claude A. Dance (from 6 months to 9 months); and (iii) Diana P. Diaz (from 3 months to 6 months)."
On Friday, November 18, the President, Vice President and two Directors: Diana, David, John and Parris spent about $150,000 buying this stock. The next business day, on Monday, November 21, the directors, President and Vice President: Parris, John and David spent another $100,000 buying this stock, They drove the price up 20% in two days and spent $250,000 doing it. Since then, the employees (quality control guy, Khairan, and the sales guy, Claude) got in on the action.
It doesn't take a rocket scientist to know that something went down on November 18th. Where's Bud Fox when we need him? Who did David, Diana, John and Parris meet with on November 18?
And then a few days later this article comes out.....
A particularly strong insider buying signal is what we call a “cluster-buy” where three or more different insiders make open market purchases within a short period of one another. At Sharps Compliance Corp. (NASD: SMED), 4 different insiders purchased 61,050 shares at an average price of $4.13/share, for a total of $252,282, with the most recent purchase on November 21, 2011.
Kind of makes you say Hmmmmm :) Somebody knows something.