This article presents an overview of Insiders Are Selling These 5 Stocks in 2024. For a detailed overview of such stocks, read our article, Insiders are Selling These 10 Stocks in 2024.
5. Medpace Holdings Inc (NASDAQ:MEDP)
Number of Hedge Fund Investors: 38
Ohio-based clinical research company Medpace Holdings Inc (NASDAQ:MEDP) ranks fifth in our list of the stocks insiders are selling in 2024. Medpace Holdings Inc’s (NASDAQ:MEDP) CEO August J. Troendle on March 6 sold 200,000 shares of Medpace Holdings Inc (NASDAQ:MEDP) at $ 411.61 per share. On March 6 the stock closed trading at around $410.16. Since then through March 15 the stock has lost about 3.26% in value.
As of the end of the fourth quarter of 2023, 38 hedge funds out of the 933 funds tracked by Insider Monkey had stakes in Medpace Holdings Inc (NASDAQ:MEDP). The most significant stake in Medpace Holdings Inc (NASDAQ:MEDP) is owned by D. E. Shaw which had a $71 million stake in Medpace Holdings Inc (NASDAQ:MEDP).
Polen U.S. Small Company Growth Strategy stated the following regarding Medpace Holdings, Inc. (NASDAQ:MEDP) in its fourth quarter 2023 investor letter:
“Medpace Holdings, Inc. (NASDAQ:MEDP) is a mid-sized contract research organization (CRO) that services smaller biotech companies with venture/PE backing. Specifically, Medpace handles these companies’ clinical trial-related R&D, and their business model is built upon being a full-service only solution. Given our quality orientation, it is particularly challenging to buy pharma and biotech companies due to their earnings losses and FDA risk. The company’s impressive track record of robust financial performance—emphasizing stability, profitability, and well-above-average growth—offers us broad-based exposure to this industry. Medpace’s business model is designed to minimize the binary risks associated with single-company FDA concerns or unprofitability, making it an optimal choice for us as we seek exposure to the groundbreaking innovation that comes with the biotech industry.”
4. Palantir Technologies Inc (NYSE:PLTR)
Number of Hedge Fund Investors: 44
Billionaire Peter Thiel, who co-founded Palantir Technologies Inc (NYSE:PLTR) and currently sits on Palantir Technologies Inc’s (NYSE:PLTR) board, dumped over seven million shares of Palantir Technologies Inc (NYSE:PLTR) on March 12 at $24.79 per share. Since then through March 15 the stock is down by about 5%.
Palantir Technologies Inc (NYSE:PLTR) shares are up by about 41% year to date through March 15. Palantir Technologies Inc’s (NYSE:PLTR) CEO Alex Karp recently grilled short sellers who are targeting Palantir Technologies Inc (NYSE:PLTR) in an interview with CNBC.
Karp said that short sellers are shorting a “truly great American company — not just ours — but they just love pulling down great American companies so that they can pay for their coke.”
Carillon Scout Mid Cap Fund made the following comment about Palantir Technologies Inc. (NYSE:PLTR) in its Q3 2023 investor letter:
“Palantir Technologies Inc. (NYSE:PLTR)’s stock moved higher on hopes that it could win business from the U.K.’s National Health Services and as customer counts grew rapidly in the latest quarterly report for the company’s new Artificial Intelligence Platform (AIP). Palantir also won a significant new contract with the U.S. Army in September, which should last through 2026. The debate on the street is how fast Palantir can monetize its new commercial customers. After the quarter closed, the company announced an enhanced marketing deal with a major auditing and consulting firm.”
3. Dell Technologies Inc. (NYSE:DELL)
Number of Hedge Fund Investors: 56
Dell Technologies Inc. (NYSE:DELL) CEO Michael Dell on March 6 sold 2,040,879 Dell Technologies Inc. (NYSE:DELL) shares at $120.55 per share. Since then through March 17 the stock has lost about 10% in value. Earlier this month Dell Technologies Inc. (NYSE:DELL) increased its quarterly dividend by 20.3%. Morgan Recently named Dell among the stock it’s bullish on at its annual tech, media and telecom conference. Morgan Stanley has a $120.5 price target on the stock.
As of the end of the fourth quarter of 2023, 56 hedge funds out of the 933 funds tracked by Insider Monkey had stakes in Dell Technologies Inc. (NYSE:DELL). The biggest hedge fund stakeholder of Dell Technologies Inc. (NYSE:DELL) during this period was
2. T-Mobile Us Inc (NASDAQ:TMUS)
Number of Hedge Fund Investors: 75
Deutsche Telekom, which has a director and 10% stake owner status at T-Mobile Us Inc (NASDAQ:TMUS), on March 12 sold 569,000 shares of T-Mobile Us Inc (NASDAQ:TMUS) at $163.44 per share. Since then through March 15 the stock slid about 1.4%.
Insider Monkey’s database of 933 hedge funds shows that 75 hedge funds had stakes in T-Mobile Us Inc (NASDAQ:TMUS). The most notable stake in T-Mobile Us Inc (NASDAQ:TMUS) is owned by Warren Buffett’s Berkshire which had an $844 million stake in T-Mobile Us Inc (NASDAQ:TMUS).
ClearBridge Dividend Strategy made the following comment about T-Mobile US, Inc. (NASDAQ:TMUS) in its Q3 2023 investor letter:
“During the quarter we initiated positions in two new names: T-Mobile US, Inc. (NASDAQ:TMUS) and Gilead Sciences. T-Mobile is the best-in-class player in the wireless space, delivering the strongest growth with the lowest cost structure and the best consumer proposition. T-Mobile’s strength is rooted in its advantaged competitive position. Its superior spectrum holdings enable it to provide better wireless service at meaningfully lower cost. T-Mobile’s annual capital expenditures run about $10 billion, on the order of half the amount its peers must spend. Due to its lower cost structure, T-Mobile can undercut its competitors on price while still generating compelling profitability and returns.
This combination — superior service at lower prices — has enabled T-Mobile to outgrow its competition. In the three years since completing its merger with Sprint, T-Mobile has grown its post-paid subscriber base by about 22%. Over the same period, AT&T’s has grown by about 14%, while Verizon’s by less than 5%.
Given the high fixed-cost nature of the wireless business, these steady increases in revenue growth have led to outsize increases in profits and free cash flow. Free cash flow in 2023 is expected to come in around $13.5 billion, up from less than $8 billion last year. In 2024 free cash flow is expected to grow by over 20% to approximately $17 billion — providing a 10% yield based on today’s stock price.
We have long admired T-Mobile, but until recently the stock did not pay a dividend. The company announced its inaugural dividend in September, and we bought the stock shortly thereafter. The initial yield is about 2% and it is expected to grow about 10% per year.”
1. Nvidia Corp (NASDAQ:NVDA)
Number of Hedge Fund Investors: 173
Nvidia Corp (NASDAQ:NVDA) shares have gained about 82% in 2024 through March 17 and many analysts believe there is no end in sight to the stock’s growth. But the stock did see several insider selling transactions in February and March this year. Does it mean the stock is poised for a pullback? Only time would tell. Tench Coxe, a director at Nvidia Corp’s (NASDAQ:NVDA) board, sold 200,00 shares of Nvidia Corp (NASDAQ:NVDA) at $850.10 per share on March 5. Since then the stock has gained about 3.36%.
Another director at Nvidia Corp (NASDAQ:NVDA), Mark A. Stevens, sold 21,600 shares of Nvidia Corp (NASDAQ:NVDA) at $919.30 per share on March 7. On that day the stock closed trading at $929.69. Since then through March 17 the stock has lost about 5.2% in value.
Alger Spectra Fund stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its fourth quarter 2023 investor letter:
“NVIDIA Corporation (NASDAQ:NVDA) is a leading supplier of graphics processing units (GPUs) for a variety of end markets, such as gaming, PCs, data centers, virtual reality and high-performance computing. The company is leading in most secular growth categories in computing, and especially artificial intelligence and super- computing parallel processing techniques for solving complex computational problems. Simply put, Nvidia’s computational power is a critical enabler of Al and therefore critical to Al adoption, in our view. During the period, shares contributed to performance as Nvidia reported solid fiscal third quarter results well above analyst expectations, driven by strong demand from data centers. Growing Al data center workloads are driving demand for the increased interconnections and fully accelerated software stacks, thereby enabling leading application performance and fast result times.”
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