Insider selling during the last 30 days
Here is a table of Google's insider activity during the last 30 days.
|Name||Title||Trade Date||Shares Sold||Rule 10b5-1||Current Ownership||Decrease In Ownership|
|John Hennessy||Director||Apr 21-May 1||2,000||Yes||6,092 shares||24.7%|
|Eric Schmidt||Executive Chairman||April 24||92,630||Yes||9,499,786 shares||1.0%|
|Shirley Tilghman||Director||April 21||2,000||No||7,624 shares||20.8%|
|Lawrence Page||CEO||April 14-17||166,668||Yes||47,007,160 shares||0.4%|
|John Doerr||Director||April 15||7,872||Yes||2,233,330 shares||0.4%|
|David Drummond||SVP||April 14||290||Yes||116,670 shares + 314,050 options||0.1%|
|Patrick Pichette||CFO||April 7-14||3,176||Yes||102,836 shares + 176,066 options||1.1%|
There have been 274,636 shares sold by insiders during the last 30 days. John Hennessy, Eric Schmidt, Lawrence Page, John Doerr, David Drummond, and Patrick Pichette sold shares pursuant to a Rule 10b5-1 plan. More details about the Rule 10b5-1 trading plan can be found from this link.
Insider selling by calendar month
Here is a table of Google's insider activity by calendar month.
|Month||Insider selling / shares||Insider buying / shares|
There have been 5,780,543 shares sold, and there have been zero shares purchased by insiders since January 2013. On April 2, Google issued a class C stock dividend.
Google reported the first-quarter financial results on April 16 with the following highlights:
|Net income||$3.5 billion|
Four of these seven insiders sold their shares after these results.
|Qtrly Rev Growth (yoy):||0.19||0.72||-0.01|
|PEG (5 yr expected):||N/A||1.23||2.72|
Google has the lowest gross margin among these three companies.
Here is a table of these competitors' insider activities this year.
|Company||Insider buying / shares||Insider selling / shares|
Only Google has seen intensive insider selling during the last 30 days.
There have been seven different insiders selling Google, and there have not been any insiders buying Google during the last 30 days. Two of these seven insiders decreased their holdings by more than 10%.
Google has a $465 price target from the Point & Figure chart. I believe there is an opportunity for a short entry with the $465 price target. I would place a stop loss at $615, which is the all-time high. The two main reasons for the proposed short entry are a bearish Point & Figure chart, and the intensive insider-selling activity.
Disclosure: I have no positions in any stocks mentioned, but may initiate a short position in GOOG over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.