A Telltale Sign Silicon Valley Bank Was Doomed?

Ignore this warning sign at your own peril…

Dear Loyal Reader, Insider activity is one of many factors that go into my stock rating system. If executives are buying shares, it could be a signal they’re confident in their firm’s growth and want to capitalize on its long-term prospects. On the other hand, insider selling means they’re throwing the baby out with the bathwater. They want to cash out on their shares while they’re still worth something. And in the case of Silicon Valley Bank, executives sold $84 million in stock over the last two years. The CEO himself sold $3.6 million weeks prior to the bank’s failure. Then there’s First Republic Bank… Its executives sold $12 million in stock just months before its stock crashed. The size and timing of these sell-offs have triggered multiple investigations into these firms. However, everyone is ignoring the kingpin of all insider activity…. One Silicon Valley executive sold $23 billion in company stock last year. That’s enough to buy 20 Major League baseball teams. Altogether, insiders of this massive company have unloaded 60,000 shares and have bought ZERO. The downfall of this company will be even more devastating because it makes up 10% of investors’ portfolios right now. Go here to get the name and ticker of this company … and how you should play its demise. Regards, Adam O’Dell Chief Investment Strategist, Stock Power Daily   Legal Notice: This work is based on what we've learned as financial journalists. It may contain errors and you should not base investment decisions solely on what you read here. It's your money and your responsibility. Nothing herein should be considered personalized investment advice. Although our employees may answer general customer service questions, they are not licensed to address your particular investment situation. Our track record is based on hypothetical results and may not reflect the same results as actual trades. Likewise, past performance is no guarantee of future returns. Certain investments carry large potential rewards but also large potential risk. Don't trade in these markets with money you can't afford to lose. Money & Markets permits editors of a publication to recommend a security to subscribers that they own themselves. However, in no circumstance may an editor sell a security before our subscribers have a fair opportunity to exit. Any exit after a buy recommendation is made and prior to issuing a sell notification is forbidden. The length of time an editor must wait after subscribers have been advised to exit a play depends on the type of publication. (c) 2023 Money & Markets, LLC. All Rights Reserved. Protected by copyright laws of the United States and treaties. This Newsletter may only be used pursuant to the subscription agreement. Any reproduction, copying, or redistribution, (electronic or otherwise) in whole or in part, is strictly prohibited without the express written permission of Money & Markets. P.O. Box 8378, Delray Beach, FL 33482. (TEL: 800-684-8471) Remove your email from this list: Click here to Unsubscribe.