It is a confusing time for retail investors. Markets are trading near record highs, companies are posting massive revenue numbers, and excitement around technology and space exploration is palpable. Yet, a troubling trend has emerged in the headlines. The very people running these successful companies, CEOs, CFOs, and COOs, are selling stock at an aggressive pace.
When executives liquidate millions of dollars in shares, it often triggers alarm bells. Investors naturally worry that the insiders know something the public does not. Is the top in? Are growth prospects slowing down? Seeing a chief financial officer (CFO) dump stock can feel like watching the captain put on a life vest while telling passengers the ship is unsinkable.
