One respected gentleman recently bought $7 million worth of shares in Company X. The respected gentleman runs the company and, presumably, knows more about it than all the Wall Street analysts put together. Good sign? Time to buy the stock?

Well, it depends. Among other things, I’m a little bothered by the fact that Forbes estimates the respected gentleman’s net worth at about $500 million. Which means the confidence this man, who knows everything about the company, has in it amounts to roughly 7/500 ~ 1.4%. Apparently our respected gentleman has better projects for now. Well, I think I’ll wait too.