Cases of insider trading have become common over the past month, with CEOs and top executives of the largest S&P 500 companies cashing in on their holdings, spurring worries about the future stock market performance.
On this occasion, the CEO of Apple, Tim Cook, sold over 196,000 shares of Apple (NASDAQ: AAPL), at an average price of $169.31, for a profit of over $33 million.
Due to underwhelming stock performance, impending legal matters, and challenges in diversification and production endeavors, this sale occurs at an inopportune moment.
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Cook is not the only insider seller of AAPL stock
While Cook’s sale stands out as the most significant, it’s notable that other top-ranking executives have also engaged in the sale of AAPL stock.
Specifically, Senior Vice President Deirdre O’Brien sold 54,732 shares, yielding a profit of $9.2 million, just days after Cook’s transaction, on April 3.
Likewise, on the same date, Katherine Adams, also a Senior Vice President and General Counsel, sold an identical number of shares, also generating a profit of $9.2 million. This raises concerns regarding both the timing and the volume of shares sold.
A notable uptick in insider sales over the past two months
Data from the past 60 days highlights a noticeable contrast between insider sales and purchases across multiple companies and industries, including Nvidia (NASDAQ: NVDA), Meta (NASDAQ: META), Amazon (NASDAQ: AMZN), and Palantir (NASDAQ: PLTR).
This trend contrasts sharply with the insider purchases made over the past year, which coincided with a significant market rally, resulting in highly profitable returns.
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