DELAFIELD, Wis. (Stockpickr) -- Corporate insiders sell their own companies' stock for a number of reasons. 

They might need the cash for a big personal purchase such as a new house or yacht, or they might need the cash to fund a charity. Sometimes they sell as part of a planned selling program that they have put in place for diversification purposes, which allows them to sell stock in stages instead of selling all at one price.

Other times they sell because they think their stock is overvalued and the risk/reward is no longer attractive. Some even dump their own stock because they have inside knowledge that a competitor is eating their lunch and stealing market share. 

But insiders usually buy their own shares for one reason: They think the stock is a bargain and has tremendous upside.

The key word in that last statement is "think." Just because a corporate insider thinks his or her stock is going to trade higher, that doesn't mean it will play out that way. Insiders can have all the conviction in the world that their stock is a buy, but if the market doesn't agree with them, the stock could end up going nowhere. Also, I say "usually" because sometimes insiders are loaned money by the company to buy their own stock. Those loans are often sweetheart deals and shouldn't be viewed as organic insider buying.

At the end of the day, it's institutional money managers running big mutual funds and hedge funds that drive stock prices, not insiders. That said, many of these savvy stock operators will follow insider buying activity when they agree with the insider that the stock is undervalued and has upside potential. This is why it's so important to always be monitoring insider activity but twice as important to make sure the trend of the stock coincides with the insider buying.

Recently, a number of companies' corporate insiders have bought large amounts of stock. These insiders are finding some value in the market, which warrants a closer look at these stocks.

Tenet Healthcare

One healthcare services player that insiders are very active in here is Tenet Healthcare (THC) - Get Report , which primarily operates acute care hospitals and related health care facilities in the U.S. Insiders are buying this stock into major weakness, since shares have fallen by 36.6% over the last three months.

Tenet Healthcare has a market cap of $3.7 billion and an enterprise value of $18 billion. This stock trades at a fair valuation, with a trailing price-to-earnings of 67.9 and a forward price-to-earnings of 15.6. Its estimated growth rate for this year is 47.2%, and for next year it's pegged at 13.7%. This is not a cash-rich company, since the total cash position on its balance sheet is $299 million and its total debt is $14.75 billion.

A beneficial owner just bought 500,000 shares, or about $18.14 million worth of stock, at $36.21 to $36.92 per share.

From a technical perspective, Tenet Healthcare is currently trending below both its 50-day and 200-day moving averages, which is bearish. This stock has been downtrending over the last three months, with shares moving lower from its high of $60.93 to its new 52-week low of $34.94 a share. During that downtrend, shares of Tenet Healthcare have been consistently making lower highs and lower lows, which is bearish technical price action. That said, this stock has now started to bounce off that $34.94 low and it's beginning to move within range of triggering a near-term breakout trade.

If you're bullish on Tenet Healthcare, then I would look for long-biased trades as long as this stock is trending above its new 52-week low of $34.94 and then once it breaks out above some near-term overhead resistance at $39.75 to $40 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 1.94 million shares. If that breakout kicks off soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at its 20-day moving average of $42.35 to $44 a share.

Array BioPharma

Another biopharmaceutical player that insider are jumping into here is Array BioPharma (ARRY) - Get Report , which focuses on the discovery, development and commercialization of small molecule drugs to treat patients with cancer in North America, Europe and the Asia Pacific. Insiders are buying this stock into major weakness, since shares have dropped by 34.3% over the last six months.

Array BioPharma has a market cap of $700 million and an enterprise value of $649 million. This stock trades at a premium valuation, with a trailing price-to-earnings of 71.3. Its estimated growth rate for this year is -914.3%, and for next year it's pegged at 21.1%. This is a cash-rich company, since the total cash position on its balance sheet is $178.33 million and its total debt is $107.28 million.

A beneficial owner just bought 782,592 shares, or about $3.58 million worth of stock, at $4.50 per share.

From a technical perspective, Array BioPharma is currently trending below both its 50-day and 20-day moving averages, which is bearish. This stock has been downtrending badly over the last three months, with shares moving lower off its high of $8.04 to its recent low of $4.44 a share. During that downtrend, shares of Array BioPharma have been consistently making lower highs and lower lows, which is bearish technical price action. That said, this stock has now started to spike higher off that $4.44 low and it's beginning to move within range of triggering a near-term breakout trade.

If you're in the bull camp on Array BioPharma, then I would look for long-biased trades as long as this stock is trending above its recent low of $4.44a share and then once it breaks out above its 20-day moving average of $5.28 to its 50-day moving average of $5.55 a share with volume that hits near or above its three-month average action of 1.81 million shares. If that breakout begins soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at $6 to $6.23, or even its 200-day moving average of $6.68 a share.

Dominion Midstream Partners

One energy player that insiders are loading up on here is Dominion Midstream Partners (DM) , which owns liquefied natural gas import, storage, regasification and transportation assets. Insiders are buying this stock into large weakness, since shares have trended lower by 25.5% over the last three months.

Dominion Midstream Partners has a market cap of $2.14 billion and an enterprise value of $2.15 billion. This stock trades at a fair valuation, with a forward price-to-earnings of 24.8. Its estimated growth rate for this year is 513.3%, and for next year it's pegged at 20.7%. This is not a cash-rich company, since the total cash position on its balance sheet is $77.30 million and its total debt is $306.70 million. This stock currently sports a dividend yield of 2.7%.

A director just bought 103,916 shares, or about $2.77 million worth of stock, at $25.94 to $27.08 per share.

From a technical perspective, Dominion Midstream Partners is currently trending below both its 50-day and 200-day moving averages, which is bearish. This stock has been downtrending badly over the last six months, with shares falling sharply off its high of $44.10 to its recent low of $24.50 a share. During that downtrend, shares of Dominion Midstream Partners have been consistently making lower highs and lower lows, which is bearish technical price action. That said, this stock has now started to bounce off that $24.50 low and it's beginning to move within range of triggering a near-term breakout trade.

If you're bullish on Dominion Midstream Partners, then I would look for long-biased trades as long as this stock is trending above its recent low of $24.50 and then once it breaks out above its 20-day moving average of $28.89 and then once it clears more key near-term overhead resistance levels at $29.20 to $29.31 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average volume of 180,972 shares. If that breakout develops soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at its 50-day moving average of $32.18 to around $34 a share.

Lands' End

One consumer goods and services player that insiders are active in here is Lands' End (LE) - Get Report , which operates as a multi-channel retailer in the U.S. and internationally. Insiders are buying this stock into notable weakness, since shares have dropped by 22.7% over the last six months.

Lands' End has a market cap of $872 million and an enterprise value of $1.1 billion. This stock trades at a fair valuation, with a trailing price-to-earnings of 14.4 and a forward price-to-earnings of 16.4. Its estimated growth for this year is -37.7%, and for next year it's pegged at 11.4%. This is not a cash-rich company, since the total cash position on its balance sheet is $208.38 million and its total debt is $508.56 million.

A beneficial owner just bought 200,426 shares, or about $6.96 worth of stock, at $26.50 to $26.82 per share.

From a technical perspective, Lands' End is currently trending above its 50-day moving average and below its 200-day moving average, which is neutral trendwise. This stock has been consolidating and trending sideways over the last month and change, with shares moving between $26.21 on the downside and $27.70 on the upside. Any high-volume move above the upper-end of its recent range could trigger a big breakout trade above the upper-end of its recent sideways trending chart pattern.

If you're bullish on Lands' End, then I would look for long-biased trades as long as this stock is trending above some near-term support at $26.21 or above its 50-day moving average of $25.23 a share and then once it breaks out above some near-term overhead resistance at $27.70 a share with high volume. Look for a sustained move or close above that level with volume that hits near or above its three-month average action of 500,738 shares. If that breakout hits soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at $29 to $30, or even $31 to its 200-day moving average of $31.91 a share.

Jason Industries

One final stock with some decent insider buying is diversified machinery player Jason Industries (JASN) - Get Report , which engages in the manufacture of seating, finishing, acoustics and components in the U.S. and internationally. Insiders are buying this stock into big weakness, since shares have dropped by 30.4% over the last six months.

Jason Industries has a market cap of $104.7 million and an enterprise value of $496.7 million. This stock trades at a cheap valuation, with a forward price-to-earnings of 10.9. Its estimated growth for the next quarter is 125%, and for next year it's pegged at 53.6%. This is not a cash-rich company, since the total cash position on its balance sheet is $32.97 million and its total debt is $434.7 million.

The beneficial owner just bought 160,000 shares, or about $744,000 worth of stock, at $4.65 per share. From a technical perspective, Jason Industries is currently trending below both its 50-day and 200-day moving averages, which is bearish technical price action. This stock spiked sharply higher on Tuesday off its new 52-week low of $3.56 a share with slightly above-average volume. This spike also pushed shares of Jason Industries back above its 20-day moving average of $4.60 a share, and it's now trending within range of triggering a big breakout trade above some key near-term overhead resistance levels.

If you're bullish on Jason Industries, then I would look for long-biased trades as long as this stock is trending above some near-term support at $4 a share and then once it breaks out above some near-term overhead resistance levels at its 50-day moving average of $4.97 and then above more resistance levels at $5 to $5.07 a share with high volume. Look for a sustained move or close above those levels with volume that registers near or above its three-month average volume of 37,625 shares. If that breakout gets set off soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at $5.89 to $6.10, or even $6.50 to $6.84 a share.

Disclosure: This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.