While retail investors flee software stocks on AI fears, corporate insiders are doing something different: buying.
It's not a flood, but it's noteworthy. Since January 1, at least eight software companies have seen meaningful insider purchases, and these aren't token gestures. We're talking millions of dollars from people who actually know what's happening inside these businesses.
Let's be clear about what insider buying means and what it doesn't. It's not a guarantee the stock will recover. Insiders can be wrong, early, or just diversifying personal portfolios. But it's a signal worth watching because these people have access to information you and I don't - pipeline data, churn rates, renewal trends, competitive intelligence.
And unlike institutional buying (which can be passive index rebalancing), insider purchases are personal capital at risk. When a director or former CEO writes a multi-million-dollar check for their own company's beaten-down stock, that's worth noting.
Here's what's been filed on SEC Form 4 since January:
Andreessen Horowitz bought $16 million of Navan (NAVN). The venture firm is technically an institutional holder, but given their board seat and operating involvement, this qualifies as insider-adjacent.
Voss Capital bought $7 million of PAR Technology (PAR). Again, not a traditional insider, but an activist fund with deep diligence and skin in the game.
The former CEO at Vertex (VERX) bought $5 million. The stock is down 70% in the past year and 34% in three months. When the guy who built the company is backing up the truck at these levels, that's a vote of confidence.
A director at Microsoft (MSFT) bought $2 million. The stock's down roughly 20% from highs. Microsoft directors don't need the money, so this is a statement.
Four insiders at Varonis Systems (VRNS) collectively bought $1.18 million. The stock's down 60% in six months. Multiple insiders buying simultaneously is a stronger signal than a single purchase.
A director at Roper Technologies (ROP) bought $500,000. Down 40% in six months despite Roper's reputation for disciplined M&A and quality assets.
