Several SoFi (NASDAQ:SOFI) insiders have sold shares on the open market this year and Chief Technology Officer (CTO) Jeremy Rishel just added another sale to the list. On Sept. 1, Rishel sold 53,532 shares at an average price of $8.88 per share. The shares sold represented a significant 25% of his prior position. Following the sale, Rishel still owns 160,597 shares.
In fact, this is Rishel’s third time selling shares this year. On March 3, he reported selling 81,000 shares at an average per share price of $6.46. On May 9, Rishel sold another 200,000 shares at an average per share price of $5.46. Insiders are not required to disclose the reasoning behind their sales, although SOFI stock trades much higher today in the mid-$8 range.
In the past year, Rishel has sold a total of $2.09 million worth of shares while buying $0 worth of shares.
SOFI Stock: CTO Jeremy Rishel Sells 53,532 Shares
Rishel’s sale shouldn’t be viewed as him giving up on the company. Insiders sell shares for a variety of reasons, such as for personal expenditures or diversification purposes. Rishel’s sale timing does appear to be odd, as SOFI stock has fallen by about 10% during the past month. On top of that, his last two sales were not optimally timed either, given the much higher price today.
So, how have other insiders traded SoFi this year? Besides Rishel, President of SoFi Bank Chad Morton, Chief Marketing Officer (CMO) Lauren Webb and Chief Risk Officer (CRO) Aaron Webster have all sold shares on the open market this year. Meanwhile, only one SoFi insider has purchased shares in 2023: CEO Anthony Noto.
Noto has purchased shares of SOFI stock several times this year. His last purchase occurred on May 15 when he acquired 108,000 shares at an average price of $4.67 per share. That brought his total stake to 6.48 million shares.
In total, SoFi insiders have purchased $9.55 million of SOFI in the past year while selling $7.35 million. That amounts to a net total of $2.19 million of shares purchased. Readers should note that Noto is responsible for a majority of the shares purchased.
Analyzing insider trading should not be made in isolation when considering an investment. As always, investors should consider the business prospects of the company first and foremost.
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
