Unusual insider purchase alert

🚨 Unusual insider purchase alert 🚨

We identified an unusual insider purchase at the Sonic Automotive car dealership chain: a car dealer who bought the stock in 2009 for one or two dollars is buying again after a fall of about 47% from its peak... 🔽

$SAH 🔎 So what does Sonic do? 🔎

If you ever bought a BMW, Mercedes, or Honda car in California or Texas, there's a good chance you visited one of their dealerships. 🚗

Sonic is one of the largest car dealership chains in the US, with about 107 dealerships in 18 states. 🚗

In a report we received, we identified that Paul Rusnak, a businessman and shareholder in the company who holds over 10% of the company, made 3 insider purchases totaling 50,520 shares for over $3,000,000 of his personal funds, at a price of about $59.65 per share. 💵

All purchases were made on the open market at market price. 🛒

But wait, who is Paul Rusnak? 🔎

Rusnak himself is a well-known businessman in the car industry from Pasadena, and his group sells exactly the luxury brands that Sonic relies on.

In February 2009, at the peak of the crisis, when the stock was trading between one and two dollars, he bought 4,300,000 shares for about $6,175,000, and requested a seat on the board, because, according to him, he "could help the business..."

Several years passed, and since his purchases in 2009, the stock has soared by about 7,000% 🔼 (note the incredible timing of his purchase in the 2009 image)

Back to the present:

Note the timing of his latest insider purchases:

🗓 July 30 - Insider purchase: After earnings, with higher costs at dealerships, the stock drops by 10.9%.

🗓 September 17 - Insider purchase: The big competitor, AutoNation, presents cautious guidance, investors are scared, and Sonic falls by 9.3% in one day.

🗓 October 1 - Insider purchase: Rusnak buys 21,645 shares for $1,287,878.

🗓 October 5 - Insider purchase: Morgan Stanley cuts its target from $72 to $57, and on the same day, Rusnak buys another 27,756 shares for about $1,658,699.

🗓 October 6 - Insider purchase: J.P. Morgan and Barclays cut targets, and Rusnak adds another 1,119 shares for about $67,028.

Note: the market saw that the automotive industry was slowing down and fled. 🗺

Someone from the automotive industry saw the same industry from the inside and decided to make 3 insider purchases within 6 days. 💵

And now, let's go back to Sonic:

This is a chain that primarily sells luxury and import brands, and even in the quarter that caused the stock to fall, it beat estimates with earnings of $1.82 per share against an expectation of $1.75, and revenue growth of 7.6%. 📈

And all this at a price about 47% lower than its July peak ❓

When a car dealer who bought the stock at the 2009 low returns to buy precisely when investment houses are cutting, this is exactly the kind of insider purchase we follow closely... 📡

What does someone who knows the profession from the inside see that the market still doesn't understand❓

And we're not done yet....

In our check, we noticed that Rusnak has a history of insider purchases 🔎

The last time he made insider purchases, between February 5 and 17, 2026, he paid almost exactly the same price: 100,000 shares at $59.92-$59.98 per share, totaling 5,100,000 shares... ⏳

A few months later, on July 29, 2026, the stock closed at $112.66. 🔼

The stock rose 90% within 180 days! 💵

And now, he is buying again, at the same price 🛒

We are monitoring here 🔎