A recent report highlights that insiders, including Meta Platforms Inc. (META)’s Mark Zuckerberg, Oracle Corp. (ORCL)’s Safra Catz, and JPMorgan Chase & Co. (JPM)’s Jamie Dimon, sold shares worth billions before President Donald Trump’s tariff announcements caused market turmoil.
Zuckerberg sold 1.1 million shares valued at $733 million via his Chan Zuckerberg Initiative in Q1, during January and February when Meta’s stock traded above $600. Following this, the stock dropped by 32%. Oracle’s CEO, Catz, sold 3.8 million shares worth $705 million before Oracle’s stock fell over 30%. Dimon sold approximately $234 million worth of stock during the quarter.
The first quarter was volatile for markets due to tariff uncertainties leading up to April 2, Trump’s so-called Liberation Day, which triggered a selloff wiping trillions off global markets. Elon Musk, the world’s richest person, lost $129 billion as tariffs impacted tech stocks.
Despite the downturn, some billionaires are purchasing shares at lower prices to increase stakes. Insider selling decreased compared to Q1 of 2024, with $15.5 billion from 3,867 sellers this year versus $28.1 billion from 4,702 insiders in 2024, according to Washington Service.
These insider sales raise questions about timing and insider knowledge. Significant share price drops after tariff announcements resulted in substantial losses for those who held onto their shares. However, insider selling was lower than in 2024, indicating a more intricate market situation.
— new from Benzinga