dave puts less emphasis on what the CEOs buy means: http://messages.finance.yahoo.com/Stocks...

I think dave is right, the new CEO is expected to buy and he had small holdings. Surely out of $4mm in cash compensation the last three years he was able to save up some money for this!

Was it a clear buy when he bought at $6 in 2007? Then again at $5 earlier this year? But buying is better than a poke in the eye with a sharp stick. Now look to see if he gets large option grants at a low price to replace those of his that are well out of the money.

Yes, the CEO knows the company better. That does not mean he knows the outlook for the economy, the markets, politics, and its prospects better. Have seen plenty of cases where outsiders much more accurately predicted what would happen than the CEO predicted - even though the CEO clearly knew the company better.

To me, a much more positive signal would be a decline in non performing loans.