Stock Bull,
regarding sale of stock by insiders.... Hard to say what's normal. If you go back to the post to which that one responded, (36151) and the ones before it (36150, 31641), you may get a better feel.
One of the BIG difficulties in assessing insider trading is that we have no idea of the number of options still held by the insiders who have sold. And of course, we also have no idea of what was done with the proceeds, though we know a chunk went to Sam. Did they buy a new home, lamborghini, DELL LEAPs, or CPQ? Were they just preserving a certain amount of capital, because of the uncertain world economic picture?
Does anyone know if an insider is required to report options trades?
We also know that when an insider exercises a stock option, there exist very cogent tax reasons to sell the stock at once, so excercise and sale go hand-in-hand. Also, note that the selling took place roughly a month ago... immediately prior to the 18-point drop.
I suspect that the selling may have been a BIT heavier than usual, but cannot verify it. Also, note that DELL insider selling, as nearly as I can tell, ALWAYS occurs in the week after earnings announcement.
I also suspect that the bears will try to make this a 'cause celebre'. Short-term, it may present an 'opportunity'. Long term, I'm not going to worry about it.
DELLish, 3.
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