With Tesla’s (NASDAQ: TSLA) stock showing signs of recovery after losing over 40% of its value since 2024, some insiders sold their shares at higher prices.
This time, Chairwoman of the Board of Directors Robyn Denholm sold around 93,000 TSLA shares at an average value of $184.85 per share on May 6 for a total profit of $17.3 million.
With TSLA stock depreciating further since her sale by 6% and settling at $174.72 at the latest close, Denholm seized the opportunity and acquired substantial profits.
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What is interesting is that Denholm managed to time her sales at the exact peak in the value of TSLA shares in the last five trading sessions.
Denholm sold additional Tesla shares earlier in 2024
Denholm, the company’s chairwoman, has sold shares actively in 2024. On March 12, she sold 93,705 shares of TSLA at an average price of $175.4 each, totaling $16.4 million. This sale reduced her TSLA stake to just 15,000 shares.
On February 21, she sold 93,706 Tesla shares at $194.72 per share, making a profit of $18.2 million.
In total, her sales in 2024 totaled nearly $52 million in just the first five months.
Legal struggles with other members of the board
Denholm initially joined the Tesla board and served on the audit committee. She later replaced Musk as chair in November 2018, following a settlement with the SEC regarding Musk’s tweets about taking Tesla private.
She faced a shareholder lawsuit, Tornetta vs. Musk, which was resolved in January. The court ruled against Tesla’s CEO pay plan, which was approved by a board biased toward Musk.
Denholm and Musk are now seeking shareholder support for various proxy proposals, notably one to reinstate Musk’s invalidated compensation package, potentially worth billions in Tesla shares.
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