Advanced Battery (ABAT) has seen strong technical action in recent days rising above the 200 day moving average. No doubt all the buying from the CEO has something to do with it. Is big news around the corner? CEO Fu Zhiquo purchased 1,000,000 shares on May 4th at $2.65/share. With shares currently nearly 3.50, not a bad return in a few days! So the company reports earnings on May 11th and the CEO buys $2.5 million worth of shares just days before. Think earnings will be strong? I’d be shocked if they weren’t.
On the flip side First Solar (FSLR) insiders are dumping shares with the most significant being the selling from CFO Jens Meyerhoff who dumped nearly $3 million in stock on May 1st (which is a significant portion of the holdings). The last time Jens dumped stock? Right around last years top in July/August. Also doing some significant selling is the estate of John Walton (of Wal Mart) fame but they have so many shares the selling is relatively insignificant. The selling from Jens doesn’t really alter my position on First Solar which I added at $165 and continue to hold, but it does raise a small red flag and may be the catalyst for a pull back on what has been a heck of a run in recent days.
His selling means absolutely nothing. Perhaps he’s buying a new house! Besides, it was probably a pre-arranged scheduled sell. CFO’s have to do this. You read waaay too much into this kind of thing. Pull back? Right…it hit 200 today.
I suggest reading my post again.
“The selling from Jens doesn’t really alter my position on First Solar which I added at $165 and continue to hold, but it does raise a small red flag and may be the catalyst for a pull back on what has been a heck of a run in recent days.”
No insider selling isn’t as significant as insider buying, but it is significant portion of his holding and considering his timing in the past it’s something to keep an eye on. I continue to hold my position in FSLR
The Estate of John T. Walton has been selling tens of millions of FSLR First Solar stock lately.