For companies with high levels of insider ownership — holdings of stock by high level executives and directors within the firm — a message is sent to the market that those most intimate with corporate finances are confident of growth potential, since their personal wealth is directly tied to stock performance.
As it turns out, some companies are significant outliers when it comes to insider ownership. Whereas some CEO-founders hold upwards of 20 percent of the outstanding shares, most insider holdings are spread amongst executives. To get an idea of which S&P 500 index companies have high levels of insider ownership, CNBC’s analyst Giovanny Moreano compiled the numbers with data from Capital IQ and Thomson Reuters.
So, which companies have the highest levels of insider ownership? Click ahead to find out!
By Giovanny Moreano & Paul Toscano
Posted 5 Oct 2011