A
Acquisition
When an insider acquires shares, typically through an open-market purchase, option exercise, or grant. Acquisitions are recorded as "A" transaction codes on SEC Form 4 filings.
Related: Disposition, Form 4
B
Beneficial Owner
A person who has the power to vote or dispose of shares, even if they don't legally own them in their own name. Anyone owning more than 10% of a company's stock is considered a beneficial owner under SEC rules.
Related: Insider, Indirect Ownership
C
C-Suite
Top-level executives whose titles begin with "Chief" — including CEO, CFO, COO, CTO, and similar roles. Trades by C-suite insiders are often viewed as more significant because they have the deepest operational knowledge.
Related: Insider
See C-suite trades on Invstify →Cluster Buy
When 2 or more corporate insiders purchase stock in the same company within a 7-day period. Cluster buys are often viewed as a bullish signal, suggesting coordinated confidence among people with inside knowledge.
View cluster buys on Invstify →D
Direct Ownership
Shares owned directly by the insider in their own name. Direct ownership is generally considered more meaningful than indirect ownership when evaluating insider trades.
Related: Indirect Ownership, Beneficial Owner
Disposition
When an insider sells or otherwise disposes of shares. Dispositions are recorded as "D" transaction codes on SEC Form 4 filings. Not all dispositions are open-market sales — some may be gifts or transfers.
Related: Acquisition, Form 4
E
Earnings Surprise
When a company's actual earnings per share (EPS) differ significantly from analyst consensus estimates. A positive surprise (beat) often leads to stock price increases, while a negative surprise (miss) can cause declines.
Related: EPS (Earnings Per Share)
View earnings surprises on Invstify →EPS (Earnings Per Share)
A company's net profit divided by the number of outstanding shares. EPS is the key metric used to measure earnings surprises — the difference between actual EPS and the analyst estimate.
Related: Earnings Surprise
F
Form 4
The SEC form that corporate insiders must file within 2 business days of any transaction in their company's stock. Form 4 is the primary source of insider trading data tracked by Invstify.
Learn how to read Form 4 →I
Indirect Ownership
Shares owned through trusts, family members, partnerships, or other entities rather than directly in the insider's name. Indirect ownership must still be reported on Form 4 filings.
Related: Direct Ownership, Beneficial Owner
Insider
Under SEC rules, a corporate officer, director, or beneficial owner of more than 10% of a company's stock. Insiders are required to report their transactions to the SEC via Form 4 filings.
Related: C-Suite, Beneficial Owner, Form 4
O
Option Exercise
When an insider converts stock options into actual shares of stock. Option exercises are common and often don't carry the same signal as open-market purchases, since they're typically part of a compensation plan.
Related: Acquisition, Form 4
S
SEC
The U.S. Securities and Exchange Commission — the federal agency responsible for regulating securities markets, protecting investors, and enforcing securities laws including insider trading disclosure requirements.
10b5-1 Plan
A pre-arranged trading plan that allows insiders to sell shares on a predetermined schedule. Because trades under 10b5-1 plans are automated and planned in advance, they're generally considered less informative as signals.
Related: Disposition, Insider