Insiders Selling Five Below, Verizon Communications And This Consumer Defensive Stock

The Nasdaq Composite closed higher by over 200 points on Wednesday. Investors, meanwhile, focused on some 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.

TreeHouse Foods

• The Trade: TreeHouse Foods, Inc. THS Director Ann Sardini sold a total of 5,083 shares at an average price of $49.89. The insider received around $253.59 thousand from selling those shares.
• What’s Happening: UBS initiated coverage on the stock with a Buy rating and a $60 price target.
• What TreeHouse Foods Does: TreeHouse Foods, the largest private label manufacturer in the U.S., is the product of a slew of acquisitions, the most significant being the 2016 acquisition of Ralcorp, Conagra's former private brands business.

Have a look at our premarket coverage here

Five Below

• The Trade: Five Below, Inc. FIVE CMO Michael Romanko sold a total of 9,674 shares at an average price of $200.23. The insider received around $1.94 million from selling those shares.
• What’s Happening: Five Below issued Q1 EPS guidance below estimates.
• What Five Below Does: Five Below is a value-oriented retailer that operated 1,190 stores in the United States as of the end of fiscal 2021.

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Verizon Communications

• The Trade: Verizon Communications Inc. VZ EVP & Pres.-VZ Global Services Craig L Silliman sold a total of 3,342 shares at an average price of $38.00. The insider received around $127 thousand from selling those shares.
• What’s Happening: B of A Securities maintained Verizon with a Neutral and lowered the price target from $51 to $41.
• What Verizon Does: Verizon is primarily a wireless business (nearly 80% of revenue and nearly all operating income).