Shares of Anima Education surged 10% in trading on Tuesday, reversing a steep decline from the previous session.
The rebound was triggered by reports that members of the company's controlling group have increased their ownership stake in the education provider.
The insider accumulation provided a crucial counterweight to the selling pressure that had driven the stock lower on Monday.
Market participants interpreted the move by the controlling group as a vote of confidence in the company's fundamentals and current valuation, helping to stabilize sentiment among retail and institutional investors.
Anima Education, a major player in Brazil's private education sector, has faced periodic volatility in its share price.
The decision by the controlling group to add shares during a downturn suggests they view the recent price action as an opportunity rather than a reflection of deteriorating business prospects.