The Nasdaq 100 surged over 1% during Friday’s trading session, but investors also focused on some notable insider trades. When insiders, like executives or board members, sell shares, it could be due to a planned sale, or it could indicate their concern about the company’s prospects or a belief that the stock is overpriced.
While insider sales shouldn’t be the sole factor in investment decisions, they can provide valuable insights and support other market indicators. Here’s a look at a few recent insider sales:
Lithia Motors (LAD):
Director Sidney B Deboer sold 11,938 shares at an average price of $290.86, netting him approximately $3.5 million. This sale comes after Lithia Motors reported better-than-expected adjusted earnings per share (EPS) for the second quarter on August 1st.Philip Morris International (PM):
Pr SSEA CIS & MEA Region Wilde Frederic de sold 20,000 shares at an average price of $119.30, generating around $2.4 million. This sale follows Barclays analyst Gaurav Jain maintaining an Overweight rating on Philip Morris Intl on August 14th and raising the price target from $110 to $130.McDonald’s (MCD):
President of McDonald’s USA, Joseph M. Erlinger, sold 1,098 shares at an average price of $288.70, receiving approximately $316,993. This transaction comes after Evercore ISI Group maintained an Outperform rating on the stock and raised its price target from $300 to $320 on August 19th.Mastercard (MA):
EVP, Ops Excellence, HSE Dale D Friedrichs sold a significant 90,000 shares at an average price of $468.80, generating roughly $42.2 million. This large sale coincides with reports that Mastercard plans to reduce its global workforce by 3%.Understanding these insider sales can be a useful tool in navigating the dynamic world of the stock market. It’s important to remember that insider sales are just one piece of the puzzle, and thorough research is crucial before making any investment decisions.
