At Stockpickr.com, we keep track of the Top 10 Insider Purchases and Buybacks each week. Here's the perfect setup in my mind: insiders buying the stock, the company buying back its own shares and a super investor like Warren Buffett also making a bullish bet on the stock.

If I can get three out of three, I'm in heaven. If I can get two out of three, or even one out of three, I'm still pretty happy about the situation, particularly if the stock is cheap in other ways as well.

Each Thursday we update the Stockpickr Top 10 Insider Purchases and Buybacks portfolio, featuring stocks that in recent days have had big insider purchases or newly announced buybacks, as well as super investors accumulating shares.

For instance, Fastenal (FAST) is in this week's portfolio.  The Winona, Minn.-based maker of industrial and construction supplies said its board approved the repurchase of up to 1 million shares of common stock.   

This new repurchase will be in addition to its previous buyback plan, bringing the total repurchase amount up to 1.8 million shares.  The company has about 149 million shares outstanding.   

On July 11, Fastenal reported great second-quarter earnings, with net income surging 26% to $76.2 million, or 51 cents a share, from $60.3 million, or 40 cents a share, in the same period last year.  Revenue rose from $519.7 million to $604.2 million, a 16% jump.  In the first half of 2008, the company opened 112 new stores, bringing the total to 2,272 stores.  At its existing stores, sales increased by an average of 8%.   

On top of the impressive quarter, it's also good to see that analysts at Robert W. Baird upgraded the stock to outperform from neutral.  The analysts mentioned that second-quarter sales and EPS beat their estimates, and they foresee impressive sales growth in 2009 coming from the impact of Fastenal's "Pathway to Profit" program.  Baird also lifted the price target from $55 to $58.   

We also like to see that a successful investment firm such as Ruane Cunniff & Goldfarb is interested in Fastenal's stock.  This firm was founded in 1969 and manages over $14 billion in assets.  Its trademark Sequoia Fund, which has one of the best long-term performance records on Wall Street, has an average annual total return of 15.68% from its inception in 1970 through 2006.  It is also buying Bed Bath & Beyond (BBY) and Berkshire Hathaway (BRK.B)

Another noteworthy firm that believes in Fastenal's stock is Grantham Mayo Van Otterloo  Founded in 1977, the firm manages $127 billion (85% equities) in client assets using a blend of traditional judgments and innovative quantitative methods to find undervalued securities and markets.  Its other top stock picks are Merck (MRK) and 3M (MMM)
 
So we have a buyback, superior earnings, an upgrade including increased price targets, and two top-notch investors into the stock.  Its might be time to take a closer look at Fastenal.   

Next on the list is Tyco International (TYC).  The provider of security products announced a buyback plan worth up to $1 billion in common stock.  This buyback will be added to its previous $1 billion buyback plan, which began last September and is near termination.   

"This new program is consistent with our plan to return a portion of our excess cash flow to shareholders through share repurchases," said Ed Breen, Tyco chairman and CEO.  "To this point in fiscal 2008, we have repurchased approximately 4% of our outstanding shares and this new program provides us with the flexibility to purchase additional shares in the future." 

The Bermuda-based company will announce third-quarter results on Thursday, July 31, before the opening bell.   

Analysts at Deutsche Bank have a buy rating on Tyco.  After a meeting with Tyco's CFO, Chris Coughlin, they noted: "ADT residential is largely unscathed by the bulge in foreclosures and the general malaise in the housing market." 
The analysts continued: "We remain attracted to TYC's more defensive characteristics, the portfolio restructuring story and the discounted valuation of 6.3x EBITDA and 12.9x EPS. We reiterate buy and $54." 
We also took notice when Wallace Weitz, often considered the "other Oracle of Omaha," bought the stock.  Weitz is a mutual fund family based in Omaha, Neb., that favors the value-disciplined approach of Ben Graham while also having a conviction that factors such as historical book value or reported earnings can be more important.  The fund also holds AIG (AIG) and Walter Industries (WLT) in its portfolio.   

Another successful firm into Tyco is Pzena Investment Management.  This $18 billion fund uses a disciplined, research-driven process to invest in deeply undervalued stocks.  It tries to focus on one important question: Are the problems that currently cause a stock to be cheap temporary or permanent?  It also finds value in Bristol Myers Squibb (BMY) and Microsoft (MSFT).

So we have a buyback, a buy rating and two excellent investors buying Tyco.  It might be time to do some more homework on the stock.
   
And finally, we have Wynn Resorts (WYNN) making this week's portfolio.  The Las Vegas operator of luxury hotels said it will add $500 million to its previously announced $1.2 billion buyback plan.  The repurchases will be made from time to time pending on market conditions.   

News of the buyback sent shares soaring 15% in extended trading.   

Wynn preannounced second-quarter earnings last Thursday, and Wynn Macau stole the show.  Macau, a special region of China and the world's foremost gambling destination, has experienced strong growth in recent years, and Wynn stands to benefit even further.  In Macau, Wynn expects EBITDA in a range of $152 million to $158 million, which represents growth of 64% to 70% year over year.  VIP table games grew over 75% to $16.3 billion, and mass market table games increased 25% to $627 million.   

After Wynn's preannounced earnings, Jefferies issued a positive note.  The analysts said: "We are maintaining our buy rating and $138.00 price target on WYNN shares. WYNN is down 38% since year-end, and we believe the sell-off is unwarranted. As shown by 2Q08 results, Wynn's fundamentals remain intact and its future is encouraging." 

We also take notice when the people running the company buy shares for their own accounts.  Director John A. Moran bought 20,000 shares of Wynn stock at prices from $84.52 to $85.07, worth nearly $1.7 million. 

It's good to see The D.E. Shaw group picking up some Wynn shares.  Since its organization in 1988, the $50 billion firm has earned an international reputation for financial innovation and an extraordinarily distinguished staff.  The firm also likes Exxon Mobil (XOM) and Procter & Gamble (PG).

SAC Capital is another firm that's bullish on Wynn.  This $12 billion group of hedge funds was founded by Steven A. Cohen in 1992.  SAC had a gross return, before its fees, of at least 40% in every year since inception, making it astoundingly successful.  Cohen recently opened a position in Petroleo Brasileiro (PBR) and sold out of Marriott (MAR).

So we have a buyback, solid earnings, a buy rating, insider buying and two outstanding investors bullish on the stock.  That makes for a pretty nice setup. 

For more stocks and analysis, check out this week's Top 10 Insider Purchases and Buybacks at Stockpickr.com.

For the 10 most-recent portfolios, check out:

Top 10 Insider Purchases and Buybacks L

Top 10 Insider Purchases and Buybacks LI

Top 10 Insider Purchases and Buybacks LII

Top 10 Insider Purchases and Buybacks LIII

Top 10 Insider Purchases and Buybacks LIV

Top 10 Insider Purchases and Buybacks LV

Top 10 Insider Purchases and Buybacks LVI

Top 10 Insider Purchases and Buybacks LVII

Top 10 Insider Purchases and Buybacks LVIII

Top 10 Insider Purchases and Buybacks LIX

You can also review Barron's Top Insider Purchases from the prior week and Jim Cramer's "Mad Money" Buybacks.