Earnings Forecast on Jul 22 - insiders sold 1.1 Million shares 2 weeks ago.
Look like ALKS earning forecast may be pretty bad, otherwise why these management sold over a million stock. If they have any good news I am thinking they should have waited till Jul 22. Anyhow I am a long investor of ALKS, I am out for now and very cautiously watch until JUL 22. If every thing good I may enter again. Is it anyway coincides with the guy buying 2000 (200,000 shares) Put option for $28. So the result will be that bad. Any thoughts?
If you look at carefully, you will see that those sales are either Automatic Sale or Option Exercise.
While Automatic Sale is not planned, option exercise is executed when their stock option is going to be expired.
They kept doing those sales all the months. Nothing special in July.
You need to pay more attention to their recent good news.
Have you seen the news dated 7/08. It seems somebody already knows the result is going to be pretty bad and bought 2000 put options(Jul 27) of $28 with a price of .74 cents each. So I think it may go down badly next week.
JUl 08- The most actively traded contracts on ALKS by volume are the Jul $28 strike puts, with roughly 2,000 lots purchased at a premium of $0.74 apiece during the first half hour of the trading week. The put buyer makes money at expiration in the event that ALKS shares decline another 3.5% to breach the breakeven point on the downside at $27.26.
I was searching in the yahoo insider records, you are absolutely right, there is no need the entire management to sell 1 million dollar stock before the earning. May be this quarter may be a big miss. If that's the case I am going to file a case against these crooks and complaint in SEC.