Insiders buy up these 3 stocks amid market crash

As the stock market suffered its worst loss since the pandemic, many insiders across various firms opted to offload their shares on April 4.

However, a few key executives at three companies took a different approach, possibly viewing the chaos as a buying opportunity and banking on a stock market recovery.

Domo (NASDAQ: DOMO)

Domo (NASDAQ: DOMO) saw significant insider buying activity from two key executives. Founder and CEO Joshua James purchased 77,000 shares at $6.50 each, totaling $500,500.

Simultaneously, Director Daniel David Daniel acquired 120,000 shares at $6.44 apiece, valued at $772,800. These purchases increased their ownership stakes in the company by 5.09% and 16.14%, respectively.

Domo, a Utah-based cloud software company, has faced challenges in recent quarters, such as slowing growth and competitive pressures. However, insider buying may signal that leadership sees a turnaround ahead.

Since the transactions, DOMO shares have edged higher. At the close of the last trading session, the equity was trading at $6.64, representing a 2.15% gain on James’s purchase and a 3.11% gain on Daniel’s.

Resources Connection  (NASDAQ: RGP)

At Resources Connection (NASDAQ: RGP), a global consulting and business advisory firm, insider buying activity included President and CEO Kate Duchene acquiring 20,000 shares at $5.14 each for a total investment of $102,800 as of April 4.

On the same day, Director Roger Carlile purchased 25,000 shares at $5.06 per share, totaling $126,500.

These transactions increased Duchene’s ownership stake by 3.14% and Carlile’s by 60.16%.

Since the insider purchases, RGP stock has inched up to $5.19 as of press time. 

While the gains are modest, 0.97% for Duchene and 2.57% for Carlile, they represent positive momentum and may be interpreted as early signs of renewed investor optimism.

Dakota Gold (NYSEAMERICAN: DC)

Dakota Gold (NYSEAMERICAN: DC) President and CEO Robert Quartermain acquired 65,000 shares at $2.58, valued at $167,700. 

While the transaction didn’t materially alter his ownership percentage, which remains at 0%, it stands out as a potential vote of confidence in the South Dakota-based gold exploration and development company’s future.

Since the acquisition, Dakota Gold’s share price has dipped to $2.48 as of reporting time, reflecting a 3.88% loss for the executive.

While the short-term performance is weak, investors often view insider buying, especially from top executives, as a bullish signal, suggesting potential undervaluation or upcoming positive developments.