The recent market-wide selloff has been hard on Nvidia stock (NASDAQ: NVDA). However, NVDA shares began recovering after a March 10 bottom, which saw prices reach levels as low as $106.98.
By press time on March 18, the price of Nvidia stock had recovered to $120.24, marking a 10.47% decline on a year-to-date (YTD) basis.
Despite reclaiming some lost ground, the semiconductor titan’s stock is in a precarious position. Wall Street remains firmly bullish when it comes to long-term prospects — but on the other hand, short volume has skyrocketed, signaling that a significant portion of market participants are willing to bet on yet another pullback.
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One additional data point that investors should consider is insider selling. Up to this point, the pace of insider selling at Nvidia has slowed — with only two transactions since the beginning of the year. Finbold’s insider trading radar just picked up the third Nvidia insider sale that has happened since the start of 2025 — and there’s an interesting detail that sets it apart.
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This signal is triggered upon the reporting of the trade to the Securities and Exchange Commission (SEC).
Board member dumps $6.1 million worth of Nvidia stock
Robert Burgess, a semiconductor industry veteran and a member of the chipmaker’s board of directors, executed a transaction on March 13, according to an SEC Form 4 filing made public on March 17.
This transaction saw the sale of 53,324 NVDA shares at prices ranging from $115.40 to $115.65. The average price at which the shares were sold is stated to be $115.49. Burgess’ trade is valued at approximately $6,158,388. With the sale concluded, he continues to hold 251,044 units of Nvidia stock.
So, what is it that sets this trade apart? For that, you’ll have to take a look at the top left corner of the filing, and notice the absence of a checkmark in the second box.
This means that the trade was not made according to a 10b5-1 plan. Most insider sales are executed through these plans — in simple terms, this entails prearranging how many stocks will be sold in a given time period, under which conditions, or perhaps even making a schedule were a given number of shares is sold at regular intervals.
Burgess’ sale was not prearranged — and while perfectly legal, transactions like these tend to attract more scrutiny from regulators. In a more practical sense, it means that the member of the board considered it beneficial to sell a significant portion of his holdings now.
While this does constitute a stronger bearish signal when compared to your average insider sale, readers should note that this is most likely an instance of locking in profits in view of very probable macroeconomic disruptions to come.
Featured image via Shutterstock
