When Insiders Cluster-Buy:
A Historical Performance Study
Analyzing SEC Form 4 filings from 2020–2025 to measure what happens after 3+ insiders buy simultaneously — and how those returns compare to the S&P 500.
Cluster Insider Buying vs. S&P 500: Average Returns
Across all cluster-buy events (3+ insiders, open-market purchases within a 14-day window), the average forward return consistently outpaced the benchmark at every measured horizon.
Past performance does not guarantee future results. Data covers Jan 2020 – Dec 2025. Returns are average, not median. This is not investment advice. Figures sourced from live SEC Form 4 data via InsiderAct database.
Source: SEC EDGAR Form 4 filings · InsiderAct analysis · Data through
Win Rate by Sector (3-Month Horizon)
A “win” is defined as the stock outperforming the S&P 500 over the 3 months following a cluster-buy signal. Healthcare and Energy show the strongest track records.
Methodology Note
Win rate = % of cluster-buy events where the stock beat SPY total return over the subsequent 90 calendar days. Minimum cluster threshold: 3 distinct insiders, each purchasing more than $25,000 in open-market buys (transaction code “P”), within a 14-day window. Events with confounding M&A announcements within 30 days are excluded.
Top Insiders by Cluster-Buy Performance
Ranked by average 1-month return. Minimum 15 qualifying open-market buys required for inclusion.
Insider names and statistics sourced from SEC Form 4 filings via InsiderAct database. Ranked by average 1-month return; minimum 7 qualifying open-market buys required.
Track Cluster Buys in Real Time
InsiderAct surfaces cluster-buy signals the moment they appear in SEC Form 4 filings — so you can research them before the market reacts.