Notable Insider Buys This Past Week: DXC Technology, HealthEquity

• Insider buying can be an encouraging signal for potential investors.
• A pair of CEOs stepped up while insider buying was slow overall.
• Some insiders took advantage of a public offering of shares as well.

Conventional wisdom says that insiders and 10% owners really only buy shares of a company for one reason -- they believe the stock price will rise and they want to profit from it. So insider buying can be an encouraging signal for potential investors, particularly with markets near all-time highs.

Below is a look at a couple of notable insider purchases reported in the past week, but also note that an insider bought some FedEx Corporation FDX shares while others were exercising options and selling.

HealthEquity

Healthequity Inc HQY CEO Jon Kessler, founder Stephen Neeleman and two other directors took advantage of a public offering of shares. At $61.00 apiece, the 40,000 shares acquired altogether totaled $2.44 million. Note that two other insiders exercised options on almost 16,000 shares of this health savings accounts custodian as well.

HealthEquity recently announced the acquisition of Wageworks, a health care benefits administrator. HealthEquity's shares ended the third week of July more than 11% higher, while the S&P 500 retreated marginally. The stock closed most recently at $79.18, well above the offering purchase price. Note that shares have traded as high as $101.58 in the past 52 weeks, but the analysts' consensus price target is $89.20.

See Also: 7 Pros And Cons Of Online Banking

DXC Technology

The CEO of DXC Technology Co DXC, John Lawrie, stepped up and purchased more than 4,100 shares of this IT services provider last week. At prices ranging from $55.62 to $56.69 per share, that cost him more than $234,000. Note that these purchases were made pursuant to a 10b5-1 Plan and brought his stake up to almost 898,000 shares.

The company recently announced the expansion of its strategic partnership with Microsoft. The stock ended the past week at $55.93 per share, just a little higher than this chief executive's purchase range. While the consensus analyst target was last seen at $73.00, the stock has traded as high as $96.75 in the past 12 months.