$Microsoft (MSFT.US)$ I know you people are trying to use "r...
$Microsoft (MSFT.US)$I know you people are trying to use "regular investor guy" mentality to justify the CEO selling ½ his shares, but a CEO is not a regular guy. It shows a lack of confidence in his company and his management to sell that much all at once. Selling now to avoid paying a 7% tax later means he doesn't think the stock will go up 7% in the next year. It also lacks class, since that kind of money is just a scorecard. You don't actually spend it. So talking about tax management like you're some kind of regular guy who's saving up to buy a house is silly. He chose to sell shares because he could see that the price today is higher than it will be in the future. This is terrible optics and is a clear sign that something bad is coming. A CEO has a pretty good idea what business looks like for the next 12 months & this is a huge sell signal. Invest if you want, but don't say I didn't warn you.
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MBDONG
:
I disagree - it doesn’t show a lack of class. It is okay for people to be rich. It’s not our place to condemn them for achieving what we haven’t.
MonkeyXXX
:
Nadella has NO lack of confidence in MSFT. A smart investor diversifies. Even Satya knows MSFT cannot grow at their recent clip forever. It also does not show a lack of class. IMHO it most likely reveals his thoughts that the more recent runup is something that he should take advantage of. I am certain that Satya has plenty of MSFT options vesting and to be exercised which of course will add to his remaining shares. Satya has done an incredible job managing MSFT. Prudence dictates, even for him, diversification.
DianaSun_02
:
Selling doesn't mean that he's bearish about the company. He could be bullish on the company but bearish on the stock due to current valuations. Microsoft will likely continue running on all cylinders but the stock could easily pullback.
Terry Aakre
JaSpur
:
very true. one shouldn't jump to conclusions but reading the tea leaves, the reason could very well be b/c many of these big tech CEOs are attempting to sell high. time will tell.
Ajou : It's not necessarily a lack of confidence. Eventually you need to sell
MBDONG : I disagree - it doesn’t show a lack of class. It is okay for people to be rich. It’s not our place to condemn them for achieving what we haven’t.
MonkeyXXX : Nadella has NO lack of confidence in MSFT. A smart investor diversifies. Even Satya knows MSFT cannot grow at their recent clip forever. It also does not show a lack of class. IMHO it most likely reveals his thoughts that the more recent runup is something that he should take advantage of. I am certain that Satya has plenty of MSFT options vesting and to be exercised which of course will add to his remaining shares. Satya has done an incredible job managing MSFT. Prudence dictates, even for him, diversification.
DianaSun_02 : Selling doesn't mean that he's bearish about the company. He could be bullish on the company but bearish on the stock due to current valuations. Microsoft will likely continue running on all cylinders but the stock could easily pullback.
JaSpur : There's an old adage that there are many reasons for an insider to sell his company's stock, but only one to buy.
https://www.forbes.com/2011/11/17/many-reasons-for-insiders-to-sell-just-one-reason-to-buy-marketnewsvideo.html?sh=63c01c52609f
Terry Aakre JaSpur : very true. one shouldn't jump to conclusions but reading the tea leaves, the reason could very well be b/c many of these big tech CEOs are attempting to sell high. time will tell.
Celestinel : Selling shares does not mean lack of confidence, investors are more willing to diversify investment