NEW YORK (Reuters) - Top Morgan Stanley <MS.N> officials purchased thousands of shares this week as the U.S. investment bank's stock price fell to new two-year lows, according to regulatory filings.
Chief Executive James Gorman bought $2.06 million of the bank's stock and Chief Financial Officer Ruth Porat bought $512,500 worth on Thursday, the executives said in filings with the Securities and Exchange Commission on Thursday and Friday.
Continue Reading Below
The purchases came as Morgan Stanley shares slumped to a new two-year low of $19.28 on Friday morning, down over 2 percent from the previous day's close.
Outside investors often view executive stock purchases as a bullish sign, on the theory that insiders have better information about a stock's true value.
Gorman bought 100,000 shares at an average price of $20.62 per share, while Porat bought 25,000 shares at $20.50. Taubman paid an average price of $20.38 for 50,000 shares. Olayan bought 5,000 shares for $20 apiece.
Morgan Stanley's shares closed on Thursday at $19.70, their lowest level since March 9, 2009, when they closed at $16.48. The U.S. stock market reached its post-crisis nadir on that day.
(Reporting by Dan Wilchins; additional reporting by Lauren Tara LaCapra; editing by John Wallace and Gerald E. McCormick)