Look at Management's Stock Ownership

Looking at a company's insider trading gives insight on how management feels about their company and about how they are running their company. If management does not own the company's shares, then why should the investor? However, the reverse should be taken with a grain of salt. If management decides to purchase shares of their company, that can be because they have faith in the company or because nobody else is buying. Therefore, looking at management's positions on a company's stock is a good idea but not the best criteria for selecting a stock.