Meta Stock Soars, But Zuckerberg's Cashing In - Should Investors Worry?

Zinger Key Points

Mark Zuckerberg has sold over 154,000 META shares in February, fueling speculation about the stock's near-term outlook.
META remains in an uptrend, but overbought technical indicators suggest a potential short-term pullback despite bullish momentum.
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Meta Platforms Inc. META has been on a tear, surging 55% over the past year, 17.6% year-to-date, and 11.85% in the last month.

Chart created using Benzinga Pro

With the stock well above its five, 20, 50 and 200-day simple moving averages (SMAs), the technicals scream bullish. Yet, one key player isn’t waiting around. CEO Mark Zuckerberg has been selling millions in stock.

Zuckerberg's Selling Spree

Since January 2025, Zuckerberg has unloaded a staggering amount of META shares, with recent sales happening at record-high levels. Just in the first week of February, he sold over 154,000 shares, netting him a cool $112 million.

These weren't one-off transactions either—he's been steadily trimming his stake since mid-January, cashing in as the stock climbed.

His largest single-day sale?

55,589 shares on Feb. 4, averaging $703.21 per share, bringing in $39 million. That's no small change, even for a billionaire. This follows a pattern of near-daily sales, with Zuckerberg offloading shares as META's stock price pushed past key resistance levels.

Does Insider Selling Spell Trouble?

Zuckerberg's selling isn't necessarily a red flag—executives diversify their holdings all the time. However, the timing is worth noting. While META stock remains in a strong uptrend, its Relative Strength Index (RSI) sits at 77.74, meaning the stock is technically overbought. The MACD (Moving Average Convergence Divergence) indicator at 25.52 also signals a stretched rally.

META stock could be due for some short-term cooling, even if the broader trend remains bullish. Insider sales alone don't dictate stock direction, but they do raise eyebrows when paired with overbought conditions.

The Bigger Picture

META's bullish momentum remains intact. The stock is well above its short and long-term moving averages, with an eight-day SMA at $686.68 and a 200-day SMA way down at $543.70. As long as META stock holds above key technical levels, the rally may have more room to run.

But with Zuckerberg cashing out, investors should watch for signs of exhaustion. If buying pressure weakens, we could see a short-term pullback—something traders might welcome after such a steep climb.

META stock is flying high, but even its biggest backer is taking some profits. Bulls may still have control, but the stock's overbought status suggests the ride up could get bumpy.

Watch the technicals closely—because if Zuck's selling, he may know something the rest of us don't.

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