Microsoft's stock has been a major laggard in recent months, and now a board member just bought the dip.

John Stanton, a Microsoft $(MSFT)$ director, scooped up 5,000 shares of Microsoft at $397.35 on Wednesday, paying almost $2 million. He disclosed the purchase in a filing with the Securities and Exchange Commission later in the day.

Microsoft didn't immediately respond to a request for comment on behalf of the company or Stanton.

Stanton, also the founder of private-equity fund Trilogy Partnerships and chair of the entity that owns the Seattle Mariners, now owns 83,905 shares of Microsoft directly and another 3,622 through a family trust.

Software stocks in general have come under pressure over fears that artificial intelligence will disrupt traditional business models. And Microsoft itself has fallen out of favor with investors due to the company's heavy AI spending that some say hasn't resulted in a commensurate level of AI monetization.

Microsoft shares are off 23% in the past six months, while the S&P 500 SPX is up 7% over that span. On a year-to-date basis, Microsoft's stock is down 17% and the worst performer of the "Magnificent Seven."

Purchases of stock by company insiders can be seen as bullish indicators because they signal that board members or executives are putting their own money on the line, rather than just talking up business trends. The implicit message is that shares are undervalued at current levels.

There have been a few recent instances of insider buying in the wake of the software selloff, including from a director at S&P Global $(SPGI)$ and the CEO of MSCI $(MSCI)$. Those financially oriented companies may not be traditionally thought of as software players, but investors have been worried that AI tools will make it easier for people and businesses to conduct financial analysis and research. A Tuesday purchase from MSCI's Henry Fernandez was particularly notable as he paid more than $3.5 million.

Read: Software ate the world. Now, Wall Street is worried AI will eat software.

Additionally, ServiceNow (NOW) disclosed on Tuesday that CEO Bill McDermott plans to buy $3 million worth of stock on Feb. 27, the earliest time he's eligible to do so "without incurring short-swing profit liability." He and other ServiceNow executives also ended trading plans designed to conduct automatic stock sales.

Evercore ISI analyst Kirk Materne said in a note to clients that the ServiceNow moves were "a clear and deliberate vote of confidence from management."