Benzinga - The Nasdaq Composite dropped around 150 points on Thursday. Investors, meanwhile, focused on some notable insider trades.
When insiders sell shares, it indicates their concern in the company’s prospects or that they view the stock as being overpriced. Either way, this signals an opportunity to go short on the stock. Insider sales should not be taken as the only indicator for making an investment or trading decision. At best, it can lend conviction to a selling decision.
Below is a look at a few recent notable insider sales. For more, check out Benzinga's insider transactions platform.
Moody's
- The Trade: Moody's Corporation (NYSE: MCO) Director Raymond W McDaniel sold a total of 7,500 shares at an average price of $274.88. The insider received around $2.06 million from selling those shares.
- What’s Happening: Morgan Stanley (NYSE:MS) maintained Moody's with an Equal-Weight and lowered the price target from $294 to $293.
- What Moody's Does: Moody's, along with S&P Ratings, is a leading provider of credit ratings on fixed income securities.
Dropbox
- The Trade: Dropbox, Inc. (NASDAQ: DBX) CFO Timothy Regan sold a total of 2,000 shares at an average price of $22.56. The insider received around $45.12 thousand as a result of the transaction.
- What’s Happening: Jefferies downgraded Dropbox from Buy to Hold and lowered the price target from $28 to $25.
- What Dropbox Does: Dropbox is a leading provider of cloud-storage and content collaboration tools with an emphasis on individuals and SMB.
United Therapeutics
- The Trade: United Therapeutics Corporation (NASDAQ: UTHR) EVP and General Counsel Paul Mahon sold a total of 12,000 shares at an average price of $197.04. The insider received around $2.36 million from selling those shares.
- What’s Happening: UBS initiated coverage on United Therapeutics with a Buy rating and announced a price target of $320.
- What United Therapeutics Does: United Therapeutics specializes in drug development for pulmonary arterial hypertension, a rare and progressive disease marked by abnormally high blood pressure in the arteries of the lungs.
Lamb Weston Holdings
- The Trade: Lamb Weston Holdings, Inc. (NYSE: LW) SVP, Gen Counsel Eryk J Spytek sold a total of 19,080 shares at an average price of $88.22. The insider received around $1.68 million from selling those shares.
- What’s Happening: Lamb Weston reported better-than-expected Q2 EPS and sales results and raised FY23 guidance above estimates.
- What Lamb Weston Does: Lamb Weston is the world's second-largest producer of branded and private-label frozen potato products, such as French fries, sweet potato fries, tater tots, diced potatoes, mashed potatoes, hash browns, and chips.
Crocs
- The Trade: Crocs, Inc. (NASDAQ: CROX) Executive Vice President Daniel Hart sold a total of 10,000 shares at an average price of $110.00. The insider received around $1.1 million from selling those shares.
- What’s Happening: Piper Sandler, last month, maintained Crocs with an Overweight and raised the price target from $95 to $118.
- What Crocs Does: Crocs Inc is engaged in the design, development, marketing, distribution, and sale of casual lifestyle footwear accessories for men, women, and children.