10 Mid-Cap Stocks Insiders Are Buying Recently

6. Maximus, Inc. (NYSE:MMS)

Number of Insiders Recently Buying: 5

Market Capitalization: $4.259B

Maximus, a provider of government services, specializing in health and human services programs is yet another dividend paying player on this list of mid-caps stocks with significant insider holdings. The company has a forward dividend yield of 1.59% and a payout ratio of 19.22%.

In November and December, five insiders acquired approximately $754,000 worth of Maximus shares at a price of $72.26 per share. The stock is currently trading at $75.79, but over the last six months it dropped 13.84%.

This suggests that insiders have used the November and December drop in price to buy shares. Why did the stock drop? In November, the U.S. Department of Health and Human Services, Centers for Medicare and Medicaid Services (CMS) notified Maximus they had canceled the Contact Center Operations (CCO) 1-800-MEDICARE and Federal Marketplace solicitation which covered the same scope of work Maximus currently performs under contract today through option periods available until 2031. This way, the company lost the new bidding opportunity. It looks like insiders thought that the bad news is priced in and that may be the reason why they bought the stock.

Meanwhile, year-to-date the stock is up 1.53%, following January dividends of $0.30 per share and the news of winning contracts to continue medical disability exam services for veterans.