CEOs of General Motors and Salesforce were among corporate insiders who sold stock last month

General Motors CEO Mary Barra and Salesforce CEO Marc Benioff both made significant insider sales of their company stock in late May. Barra sold over $27 million worth of GM shares on May 28, while Benioff sold more than $12 million of Salesforce stock over several days. Both executives executed these trades as part of 10b5-1 trading plans, which are pre-arranged agreements filed with regulators to specify when shares will be traded in the future.

Benioff’s sales occurred on May 24, 28, and 29, with an additional sale on May 30 following Salesforce’s release of its first-quarter report. The stock price dropped more than 19% the day after the report was released. These insider sales are closely watched by professional fund managers as they may provide insight into an executive’s view on the company’s direction or stock valuation.

According to data from VerityData and securities filings, other notable insider sales in late May included Squarespace CEO Anthony Casalena selling $5.88 million worth of shares, Applied Materials CFO Brice Hill selling $4.45 million, and Texas Roadhouse CEO Gerald Morgan selling $2.58 million. On the other hand, there were also notable insider buys during the same period, with Oxford Lane Capital executives purchasing $50 million of stock and Petco director Cameron Breitner buying $2.35 million worth of shares.

Overall, insider buying and selling activity can be a signal for outside investors to assess the health and prospects of a company. By tracking these transactions, investors may gain valuable insight into the sentiments and actions of company insiders, which could inform their own investment decisions. The significant transactions made by top executives like Barra and Benioff in late May indicate their confidence or concerns about the companies they lead.