Form 4 Code P / Accumulation
Insider Buying Signals
Insider buying is the cleanest bullish signal when executives use personal capital to buy shares in the open market. InsiderAlpha isolates Code P transactions, compares them against selling pressure, and ranks tickers by live buy volume.
Signal_Model
- Measures
- Open-market purchases
- Strong pattern
- CEO/CFO open-market purchase with positive net flow
- Weak pattern
- Small director buy or option-related activity
Live Insider Buying Board
Revalidates hourlyHow to read the signal
- Start with the Form 4 transaction code, then separate voluntary trades from compensation mechanics.
- Compare buy volume against sell volume to determine whether capital is entering or leaving the stock.
- Weight executive rank, transaction size, active insider count, and remaining ownership before drawing conclusions.
- Use footnotes to identify 10b5-1 plans, tax withholding, gifts, trusts, or non-market transfers.
Related concepts
Insider Buying Signals — Frequently Asked Questions
>Is insider buying bullish?
Open-market insider buying is usually bullish because the insider is voluntarily putting personal capital at risk. The signal is strongest when the buyer is a senior executive and net flow is positive.
>What Form 4 code means insider buying?
Code P on Form 4 usually identifies an open-market purchase. It should be separated from option exercises, grants, and other compensation mechanics.
>What makes an insider buying signal strong?
Large dollar value, multiple active insiders, C-suite participation, and positive net capital flow all make the signal stronger.