Eckles William V.: insider trades

Director at Electromed, Inc. 7 open-market purchases and no sales not made under a pre-set plan, reported from September 19, 2011 to November 15, 2016.

Would copying Eckles William V.’s purchases have beaten the S&P 500?

Too few purchases to judge. None of their purchases has 12 months of prices after the report; we judge insiders once they have 20. The figures below can swing a long way on a handful of trades. None of their purchases could be priced, so there is no copy portfolio. None of these trades can be measured yet: either the window after the report has not finished or the share price was under $5 when it was reported.

With 296 insiders tested, some will look skilled or unskilled by chance alone: when we replaced each insider’s stocks with random companies bought on the same days, about 5.7 cleared the bar ahead and 23.3 behind. One record on its own proves little.

Trade by trade

Eckles William V.: trades against the S&P 500 afterwards
Measured	Average vs S&P 500	Median	Went the right way	Years	t-statistic	p-value	Evidence
Purchases, 3 months after the report	—	—	—	—	—	—	Not enough years
Purchases, 6 months after the report	—	—	—	—	—	—	Not enough years
Purchases, 12 months after the report	—	—	—	—	—	—	Not enough years
Purchases, 12 months after the trade	—	—	—	—	—	—	Not enough years
Sales, 3 months after the report	—	—	—	—	—	—	Not enough years
Sales, 12 months after the report	—	—	—	—	—	—	Not enough years
Sales, 12 months after the trade	—	—	—	—	—	—	Not enough years

“Average vs S&P 500” is the stock’s return including dividends minus the index’s over the same dates, from the close on the first trading day after the report, or from the close on the trade date. Only windows that have finished are counted. For sales, a negative figure means the stock lagged after it was sold, so selling was the right call (green). “Went the right way” is the share of purchases that beat the index, or of sales that trailed it. The t-statistic uses one average per year of reports, because one person’s trades bunch into the same stock and weeks, and needs trades in at least four different years; the p-value comes from the t distribution with that number of years (with four years, a t of 2 has p = 0.14). “Some evidence” means p under 5%, “strong evidence” p under 1% over at least six years.

Companies traded

Company	Title on the latest filing	Purchases	Sales	First report	Latest report
Electromed, Inc. ELMD	—	7	0	September 19, 2011	November 15, 2016

Trades and what followed

Moves are against the S&P 500; green means the trade went the insider’s way.

Reported	Traded	Company	Trade	Value	3 months after report	12 months after report	12 months after trade
November 15, 2016	November 10, 2016	ELMD	Purchase	$72,200	not yet	not yet	not yet
November 18, 2015	November 16, 2015	ELMD	Purchase	$126,600	not yet	not yet	not yet
December 9, 2014	December 9, 2014	ELMD	Purchase	$24,600	not yet	not yet	not yet
November 16, 2012	November 15, 2012	ELMD	Purchase	$14,525	not yet	not yet	not yet
May 17, 2012	May 16, 2012	ELMD	Purchase	$25,200	not yet	not yet	not yet
February 15, 2012	February 15, 2012	ELMD	Purchase	$10,838	not yet	not yet	not yet
September 19, 2011	September 15, 2011	ELMD	Purchase	$21,300	not yet	not yet	not yet

Open-market purchases and sales of at least $10,000 in companies we cover, from SEC Form 4 filings; sales made under a pre-set Rule 10b5-1 plan are not shown. “Not yet” means the window has not finished or the share price was under $5 at entry. These are the shares’ moves after each trade: they say nothing about why Eckles William V. traded and do not suggest the use of non-public information. How every insider compares · the insider trading backtest.