{"id":6578,"date":"2011-08-10T05:21:14","date_gmt":"2011-08-10T09:21:14","guid":{"rendered":"http:\/\/drduru.com\/onetwentytwo\/?p=6578"},"modified":"2011-08-10T05:21:14","modified_gmt":"2011-08-10T09:21:14","slug":"follow-ak-steel-ceo","status":"publish","type":"post","link":"https:\/\/drduru.com\/onetwentytwo\/2011\/08\/10\/follow-ak-steel-ceo\/","title":{"rendered":"Following the Lead of AK Steel’s CEO As He Buys Company Stock"},"content":{"rendered":"

(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece<\/a>.)
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Steel stocks have essentially collapsed during this summer’s severe correction. Some have retested lows going all the way back to March, 2009. The stock market is essentially placing its votes and bets on a double-dip recession, but many of these steel stocks seem so cheap that they are worth the risk to buy here. August 9th, AK Steel (AKS) Chairman, President, and CEO James Wainscott must have come to a similar conclusion.<\/p>\n

In an SEC filing<\/a>, Wainscott disclosed a hefty purchase of 25,000 shares of AKS stock at $7.96\/share, spending $199,000 of his own money and boosting his holdings to 567,813 shares. While this addition is small relative to his total holdings, Wainscott appears to have placed a vote of confidence in the company’s shares. I added to my own holdings yesterday.<\/p>\n


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AK Steel has dropped within 25% of its March, 2009 lows and trades at a fraction of its highs since those lows<\/figcaption><\/figure>
\n*Chart created using TeleChart<\/a><\/strong>
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The entire steel complex is being auctioned off like a firesale. I could not resist nibbling on other steel names as well: <\/p>\n