Nvidia saw significant insider trading, with insiders selling 77% of the total shares sold in the last 12 months. NVDA is down nearly 25% from its peak in June.

Indeed, data shared by Global Markets Investor in an X post on July 23 indicated that insider trading activity involving Nvidia executives has skyrocketed over the past three months.

Specifically, during this period, there have been 72 insider trades, including 60 sales and 12 open market buys. Insiders sold a staggering 5.7 million shares, representing 77% of the total 7.46 million shares sold over the last 12 months.

This spike in selling activity raises eyebrows, suggesting a potential lack of confidence among Nvidia’s executives in the company’s short-term stock performance. While insider selling can occur for various reasons, such as personal financial planning, the sheer volume and concentration of these recent transactions are notable.

For Nvidia, the sales align with the Rule 10b5-1 trading plan, which the company adopted on March 14, 2024. This initiative enables insiders to sell a predetermined number of shares at a predetermined time, providing a legal cushion against potential accusations of insider trading.

Notably, some executives involved in offloading the equity include CEO Jen-Hsun Huang, whose recent sales included 700,000 shares.

This trading activity might cast a focus on how Nvidia stock might trade in the near term, especially after recent days of battling bearish sentiments, some stemming from heightened geopolitical tensions.