Big sells by Prem and Talik in september
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ENRON.
all you need to know.
He works at cvs so smart play is diversifying into something else.
You are correct. This site needs the ability to correct posts.
@aw no that’s not the rule lol
Once stock is vested it is yours to keep and you can sell it whenever you want.
Unvested stock you don’t get to keep.
The reason of these sales is because the stock awards went from unvested to vested and actually became theirs meaning they owe taxes on it.
traditionally you don’t get to keep unvested stock when you leave.. that’s the golden handcuffs. You have very clear line of sight to the significant amount of $$$ you have in stock coming your way if you are there when it vests but the shares aren’t technically fully yours yet and can’t sell it yet. But also means you don’t pay tax on initially recieving a stock award that still has to vest.
The rule is you can't take vested stock with you either if you are let go.
Prem is the largest seller of CVS stock.
Their stock awards vested which means taxes are due when the shares are formally transferred to them. Vast majority of people in this scenario have the transfer include a sale of a portion of the stock earned and vested to cover the taxes owed for receiving the award.
Not selling any when your stock vests would mean you would have to otherwise use cash from somewhere else to cover your owed taxes.
@ad Imagine you’re probably right. They do have to sell at some point if they want to have the cash.
This usually just isn’t all that meaningful, their compensation is overwhelmingly paid through stock/options. So if they actually want to use the millions of dollars they make, they inevitably have to sell a ton of stock.
Perhaps the original poster meant the sales going into September. They both had large sells on 8/31.
Where are you seeing this? September numbers wouldn’t be publicly available yet.. We have enough to stress about this time of the year. Please check your facts before posting here!
@OP *stock