The Vocus Group Ltd (ASX: VOC) share price has been a particularly strong performer on the ASX 200 on Friday.
In early afternoon trade the telco company's shares are up 7% to $3.17.
Why is the Vocus share price jumping higher?
Investors have been fighting to get hold of Vocus' shares after it revealed its second instance of insider buying in the space of two weeks.
On December 27 Vocus revealed that its non-executive director, David Wiadrowski, picked up 4,000 shares through an on-market trade on Christmas Eve.
Mr Wiadrowski paid $11,939.95 for the shares, which took his holding up to 23,000 shares.
Who else has been buying shares?
This morning the company released a change of director's interest notice which revealed that its CEO and managing director, David Russell, has made a large purchase of shares.
According to the notice, Mr Russell bought 200,000 shares through an on-market trade on January 9.
This sizeable purchase set the company's CEO back by $594,399.51, which equates to an average of $2.97 per share.
Why does this matter?
Insider buying is often regarded as a bullish indicator, as few people should know a company better than its own directors.
The theory is that if they have the confidence to buy shares, it could be a sign that things are going well and they expect them to appreciate in value.
So with Vocus' CEO tipping in almost $600,000, it's not hard to see why investors are following his lead today. And with its shares down significantly from their 52-week high of $4.90, it could be worth taking a closer look at.
Though, my pick in the telco industry right now remains industry giant Telstra Corporation Ltd (ASX: TLS). I'm bullish on Telstra due to its T22 strategy, the NBN rollout progress, and the return of rational competition.
