This article presents an overview of Latest Insider Selling: 5 Large-Cap Tech Stocks to Watch. For a detailed overview of such stocks read our article, Latest Insider Selling: 10 Large-Cap Tech Stocks to Watch.
5. Atlassian Corp (NASDAQ:TEAM)
Number of Hedge Fund Investors: 57
Project management software company Atlassian Corp (NASDAQ:TEAM) is one of the large-cap technology stocks insiders are selling. Mike Cannon-Brookes, the CEO of Atlassian Corp (NASDAQ:TEAM), on March 21 sold 8,241 shares of Atlassian Corp (NASDAQ:TEAM) at $198.48 per share. Since then the stock is down by about 2%.
Artisan Mid Cap Fund made the following comment about Atlassian Corporation (NASDAQ:TEAM) in its Q3 2023 investor letter:
“Among our top contributors were Argenx, Atlassian Corporation (NASDAQ:TEAM) and Global Payments. Atlassian is a leading provider of team-collaboration software tools. The stock outperformed based on solid financial results. Revenue growth is stabilizing (after a period of slowing in 2022), and operating margins are expected to expand in the coming years after a period of heavy reinvestment. Recent earnings results topped analyst expectations, and the company offered solid guidance, including 25% to 30% growth within its strategically important cloud business for its 2024 fiscal year. While operating margin guidance of 18.5% in 2024 was a modest disappointment, it is being driven by a final investment push, and the company expects 2024 to be the peak year for spending. One notable area of investment is generative artificial intelligence, where management is focused on getting these tools integrated into its products to drive additional value for customers which, if executed well, could drive future price increases.”
4. Analog Devices Inc (NASDAQ:ADI)
Number of Hedge Fund Investors: 62
Massachusetts-based semiconductor company Analog Devices Inc (NASDAQ:ADI) ranks fourth in our list of the large-cap tech stocks with recent insider selling. James Champy, a board director at Analog Devices Inc (NASDAQ:ADI), sold 1,228 shares of Analog Devices Inc (NASDAQ:ADI) at $197.64 per share. The transaction took place on March 21. Since then through March 26 the stock has lost about 2.3% in value.
L1 Capital International Fund stated the following regarding Analog Devices, Inc. (NASDAQ:ADI) in its fourth quarter 2023 investor letter:
“We continued to trim our investment in Intuit as, after strong share price appreciation, we now consider the business to be fully valued. We also fully divested our investment in Analog Devices, Inc. (NASDAQ:ADI), again purely due to valuation considerations. We remain very comfortable with the quality of both of these businesses, with Intuit retained as a smaller holding and Analog Devices moving to our Bench of potential future investments. As outlined earlier in this report, our base case view is that there will not be a recession, particularly in the United States. However, growth is slowing, and this will negatively impact demand for many of Analog Devices’ products.”
3. Crowdstrike Holdings Inc (NASDAQ:CRWD)
Number of Hedge Fund Investors: 62
Crowdstrike Holdings Inc (NASDAQ:CRWD) ranks third in our list of the large-cap tech stocks with recent insider selling. Crowdstrike (NASDAQ:CRWD) CEO George Kurtz on March 21 sold 78,080 shares of Crowdstrike (NASDAQ:CRWD) at $326.78 per share. On the same day, Crowdstrike Holdings Inc’s (NASDAQ:CRWD) Chief Accounting Officer Anurag Saha sold 1,019 shares of Crowdstrike (NASDAQ:CRWD) at $325.80 per share. Crowdstrike (NASDAQ:CRWD) Chief Security Officer also sold 37,704 shares of Crowdstrike (NASDAQ:CRWD) while its CFO let go of about 26,000 shares. These transactions also took place on March 21. Since then the stock is down by about 1.4%.
Carillon Scout Mid Cap Fund stated the following regarding CrowdStrike Holdings, Inc. (NASDAQ:CRWD) in its fourth quarter 2023 investor letter:
“The top contributor for the quarter was CrowdStrike Holdings, Inc. (NASDAQ:CRWD). This security software company’s stock rallied on reports of robust cybersecurity demand and solid earnings, which pushed earnings estimates higher.”
2. Arista Networks Inc (NYSE:ANET)
Number of Hedge Fund Investors: 64
Arista Networks Inc (NYSE:ANET) CEO Jayshree Ullal on March 19 sold 20,000 Arista Networks Inc (NYSE:ANET) shares at $284.00 per share. In another transaction dated March 21 she sold 21,500 shares of Arista Networks Inc (NYSE:ANET) at $299.00 per share. Since March 19 the stock has gained about 6.5%.
Madison Mid Cap Fund stated the following regarding Arista Networks, Inc. (NYSE:ANET) in its fourth quarter 2023 investor letter:
“The top five contributors for the quarter were Gartner, Dollar Tree, Arista Networks, Inc. (NYSE:ANET), Glacier Bancorp, and Ross Stores. Arista Networks continues to produce robust revenue growth, as its emerging Enterprise business is offsetting slowing demand from their core ‘Cloud Titan’ customers. While sales in relation to AI are trickling in, most of the benefit is still to be realized.
During the quarter we sold two insurance holdings, trimmed our position in Arista Networks. We trimmed Arista Networks as its stock became an outsized position due to strong performance, but remain optimistic about the company’s prospects.”
1. Salesforce Inc (NYSE:CRM)
Number of Hedge Fund Investors: 131
Salesforce Inc (NYSE:CRM) co-founder and CEO Marc Benioff on March 20 sold 15,000 shares of Salesforce Inc (NYSE:CRM) at $304.21 per share. Since then Salesforce Inc (NYSE:CRM) stock price is almost flat.
Polen Focus Growth Strategy stated the following regarding Salesforce, Inc. (NYSE:CRM) in its fourth quarter 2023 investor letter:
“In the fourth quarter, the top relative and absolute contributors to the Portfolio’s performance were Netflix, ServiceNow, and Salesforce, Inc. (NYSE:CRM).
Salesforce has continued to grow its revenues at what we see as a healthy rate despite market concerns about the impact of the weaker macroeconomy on its business and penetration rates in its core CRM offering. Even its most mature and largest offerings, Sales Cloud and Service Cloud, are still growing revenue at double-digit rates. In addition, management realized that their cost structure, especially in salespeople, had gotten too bloated. Over the past year and a half, the company has run a much more streamlined expense structure that has led to strong operating margin expansion and earnings growth. Importantly, we do not feel Salesforce has cut into its innovation or sales muscle through these cost cuts but has eliminated unnecessary excess fat from the organization.”
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