I noticed you signed up today with your user name. Something on this site must have really enticed you to start to post here.
The problem is not that a CEO sold stock. It's that CRM is diluted with more and more added shares when the "equity awards" are issued. Since the shares of longs are diluted, it can be said the shareholders of CRM are helping the CRM CEO be so generous. A children's hospital is for a wonderful cause. The question (since you brought up the philanthropy) is a public company trading on the NYSE and without GAAP earnings after 15 years can serve as a "piggy bank" that gives extravagant "equity awards." Though I'd never thought of this next issue, your post brought this up. There are medical facilities throughout the country that could use more contributions to help care for children. So CRM seeks clients throughout the U.S. and in some international areas, but many millions of dollars of philanthropy have been handed out in San Francisco only.
The big issue is whether executives running a company that doesn't have GAAP earnings are cheating their stockholders when the executives are given such generous "equity awards" that the company doesn't have the money without issuing more stock, while the CEO has sold massive amounts of stock at market prices and Benioff has acquired many millions of dollars by selling gifted stock at market prices.
I covered my short last week and won't go long KORS now. Besides excessive merchandise at Macy's, there are also display counters without customers as an upscale mall store (a midwest chain). But it's visiting TJX that gave me the biggest eye opener. There are significant markdowns on some Kors items and items from other companies. There appears to be too much inventory. There are items that have been reduced even from the lower TJ Maxx prices.
I was surprised that trapped longs didn't take advantage of that quick bounce to 85 and then even higher, briefly, during the company's conference call. Is this bounce to be bought or sold? That's the big question. I'm not buying, but I could be wrong.
If insiders had expected the stock price to go up, wouldnn't they have waited to sell those shares? The disclosure about massive stock sales by the CEO and some other insiders suggests that those insiders expect the stock price to be lower after the quarterly report. They even had to sell in a way that evaded the quiet period rules of the SEC.
Should there be disclosure by a representative of a publicly traded company with a massive stake in the stock price? Is the representative paid (via bonus, for example) for this or does the representative's job title depend on such behavior?
Just before the prior quarterly report, CRM jumped to 67 and then sold off as far as sub 49 before bouncing back into the 50's. The quarter, CRM is around 55 before the report that's likely to still show no GAAP earnings, increasing expenses, and with no expectations of GAAP earnings next quarter either.
"Summary" article leads to video about CRM catching up to other stocks that are placed into a stock index. The message is by a man who I've seen in a Fidelity ad.
Yes, JCP is a competitor or Macy's in at least some key malls. There are other competitors, too. In the clothing area, The Gap stores is a competitor, for example. If Sears was the only or even main competitor of Macy's, Macy's wouldn't need to have as many discounts as they do. But, consider the source of the comments about Sears vs Macy and nobody else of note.
I agree. I read it yesterday. While the S & P 500 is up, CRM has turned down under resistance. If the S and P 500 index recedes from being up +8.7, CRM could go down more even today.
In the meantime the 200 day MA is likely to drop little by little. Recently it was around 56. Now it's under 55. After hours, the ask of 54.65 is slightly under the 200 day MA.
There may have been an attempt at pumping this afternoon. It appears to have been countered by posts (over the weekend) about the risks of buying and trying to grow via a bunch of risky start-ups.
An unbiased look at the technical layout shows strong resistance just above where CRM closed today after many failed attempts (on low volume) to go higher. Today resistance was prominenet above 55.50 and there is resistance above 54.30 after hours. On what technical data to you consider post the number you did. Volume is one of many factors that don't support what you posted.
So far today there's been the pump. Between now and Thursday will there be the dump which will be more of a dump after the report?
Thanks for posting. IMHO your post is a signal that the morning's bounce in CRM is about to turn down. Of course, with resistance just above, CRM would be getting ready to turn down without your post, IMHO.
Are they counting on avoiding quiet period rules about not selling shares by issuing to themselves the same number of shares they are selling? They pay massively discounted prices for new shares they expect to be sell later at market prices in a year. Even if they don't expect to profit from selling the new shares later, they need to buy those new heavily discounted shares because that's the only way they can complete the selling transaction Does that escape the quiet period rule? Are they getting around that SEC stipulation by buying the same number of shares as they are selling?
Would they hurriedly unload massive numbers of shares now if they expected a good report next week?
There's a difference between a closely held company and a company whose shares are publicly traded.
You've printed bullish and bearish comments. You looked for 87 on a prior Friday and recommended going short around the same time. In other words, it's time to put you on ignore.