The annual inflation rate in the US increased to 7.5% in January, the highest level since February 1982 and well above analysts' estimates of 7.3%. 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.
American Express
- The Trade: American Express Company (NYSE:AXP) Pres:Global Merchant & Network Services Raymond Joabar disposed a total of 7,800 shares at an average price of $192.67. The insider received around $1.5 million as a result of the transaction.
- What’s Happening: American Express announced the launch of its new American Express Rewards Checking Account.
- What American Express Does: American Express is a global financial institution, operating in about 130 countries, that provides consumers and businesses charge and credit card payment products.
Snap
- The Trade: Snap Inc. (NYSE:SNAP) Chief Technology Officer Robert Murphy sold a total of 950,000 shares at an average price of $38.15. The insider received around $36.25 million from selling those shares.
- What’s Happening: Snap priced $1.3 billion 0.125% convertible senior notes due 2028 in an upsized private institutional offering.
- What Snap Does: Snap, which refers to itself as a camera company, has one of the most popular social networking apps, Snapchat, in developed regions such as North America and Europe.
Also check this: Insiders Buy Over $43M Of 4 Stocks
Alphabet
- The Trade: Alphabet Inc. (NASDAQ:GOOG) Director Larry Page sold a total of 8,451 shares at an average price of $2,798.00. The insider received $23.65 million as a result of the transaction.
- What’s Happening: Nordic price comparison provider PriceRunner AB sued Alphabet’s Google for 22 billion kronor ($2.4 billion) at Sweden’s patent and market court, Bloomberg reported.
- What Alphabet Does: Alphabet Inc is a holding company, with Google, the Internet media giant, as a wholly owned subsidiary. Google generates 99% of Alphabet revenue, of which more than 85% is from online ads.
Morgan Stanley
- The Trade: Morgan Stanley (NYSE:MS) Chief Risk Officer Keishi Hotsuki sold a total of 24,500 shares at an average price of $105.00. The insider received $2.57 million from selling those shares.
- What’s Happening: Odeon Capital recently downgraded Morgan Stanley from Buy to Hold.
- What Morgan Stanley Does: Morgan Stanley is a global investment bank whose history, through its legacy firms, can be traced back to 1924.
