Alphabet And 2 Other Stocks Insiders Are Selling

Although the Nasdaq Composite dropped around 2% on Tuesday, there were a few notable insider trades.

When insiders sell shares, it indicates their concern in the company’s prospects or that they view the stock as being overpriced. Either way, this signals an opportunity to go short on the stock. Insider sales should not be taken as the only indicator for making an investment or trading decision. At best, it can lend conviction to a selling decision.

Below is a look at a few recent notable insider sales. For more, check out Benzinga's insider transactions platform.

Eli Lilly

• The Trade: Eli Lilly and Company LLY 10% owner Lilly Endowment Inc sold a total of 165,376 shares at an average price of $292.38. The insider received around $48.35 million from selling those shares.
• What’s Happening: Eli Lilly And Co recently announced updated data from the Phase 1/2 LIBRETTO-001 trial of Retevmo (selpercatinib) in patients with RET fusion-positive non-small cell lung cancer (NSCLC).
• What Eli Lilly Does: Eli Lilly is a drug firm with a focus on neuroscience, endocrinology, oncology, and immunology.

Palo Alto Networks

• The Trade: Palo Alto Networks, Inc. PANW Director, EVP, Chief Technology Officer Nir Zuk sold a total of 12,000 shares at an average price of 616.26. The insider received around $7.4 million from selling those shares.
• What’s Happening: RBC Capital recently maintained Palo Alto Networks with an Outperform and raised the price target from $670 to $710.
• What Palo Alto Networks Does: Palo Alto Networks is a pure-play cybersecurity vendor that sells security appliances, subscriptions, and support into enterprises, government entities, and service providers.

Also check this: Insiders Buying These 4 Penny Stocks

Alphabet

• The Trade: Alphabet Inc. GOOG Senior Vice President at Google Prabhakar Raghavan sold a total of 1,276 shares at an average price of $2,816.49. The insider received around $3.59 million as a result of the transaction.
• What’s Happening: Alphabet recently submitted data to the FDA for a new Fitbit feature that passively monitors users' heart rhythms.
• What Alphabet Does: Alphabet Inc is a holding company, with Google, the Internet media giant, as a wholly owned subsidiary. Google generates 99% of Alphabet revenue, of which more than 85% is from online ads.