11-06-2014, 10:05 PM
(This post was last modified: 11-06-2014, 10:19 PM by earthtodan.)
Some of those transactions might be exercise to hold, which means they are buying the stock and paying tax on the difference between the strike price and the price at exercise, even though they only have a paper gain (incentive stock options work like that). If they are indeed buying the shares for the strike price and paying tax on the paper gain, that's a bullish signal. What a lot of people do with ISOs is flip to hold, which means you exercise a block all at once, and at the same time sell just enough to cover the purchase price.
However the chart still basically looks to me like a bunch of cashing out.
What we can't see is the people who are not named insiders, i.e. regular employees. Insider transaction charts only show named insiders, which is basically executive status. If QCOM is issuing stock options to employees, I fully support that, and it wouldn't bother me as a shareholder. If hundreds of thousands of options are going to the executives, that bothers me.
However the chart still basically looks to me like a bunch of cashing out.
What we can't see is the people who are not named insiders, i.e. regular employees. Insider transaction charts only show named insiders, which is basically executive status. If QCOM is issuing stock options to employees, I fully support that, and it wouldn't bother me as a shareholder. If hundreds of thousands of options are going to the executives, that bothers me.