Loads of Insider Selling at Red Hat Inc. (RHT) and Argan Inc. (AGX), Plus 3 Other Notable Insider Moves

Cluster of Insider Selling at Leading Linux and Open-Source Software Distributor

Three corporate insiders at Red Hat Inc. (NYSE:RHT) have discarded shares over the past two weeks or so. To start with, Michael Cunningham, Executive Vice President and General Counsel, sold 15,000 shares on Monday at prices varying from $80.18 to $80.78 per share, shortly after having sold 10,000 shares last Monday for $75.00 each. After the recent sales, Mr. Cunningham currently holds an ownership stake of 37,484 shares. Board member William S. Kaiser offloaded 12,500 shares on Monday for between $80.30 and $80.44 per share, which trimmed his ownership stake to 120,814 shares. General Henry H. Shelton, the Chairman of the Board of Red Hat, liquidated 15,000 shares on Friday at prices ranging from $80.65 to $80.78 per share, cutting his holding to 9,026 shares.

The cluster of insider selling comes shortly after the Linux and open-source software distributor released better-than-expected financial results for the second quarter of its fiscal year 2017 ended August 31. Red Hat Inc. (NYSE:RHT) also issued fiscal third-quarter and full-year guidance that appears to have impressed the market. The company anticipates full-year revenue in the range of $2.415 billion-to-$2.435 billion, up from the previous forecast of $2.38 billion-to-$2.42 billion. Red Hat shares are 3% in the red thus far in 2016. Jim Simons’ Renaissance Technologies acquired a new stake of around 435,000 shares of Red Hat Inc. (NYSE:RHT) during the second quarter.

Several Insiders at Business Process Services Company Unload Shares

Three different insiders at SYNNEX Corporation (NYSE:SNX) sold their company’s stock in the past several trading sessions, one of whom conducted the sale under a pre-arranged trading plan. However, we will have a quick look at the spur-of-the-moment insider selling only. Board member Gregory L. Quesnel discarded a 7,000-share block on Monday at prices that fell between $111.66 and $112.38 per share. Following the recent sale, Mr. Quesnel owns 8,876 shares. Fred A. Breidenbach, another member of the company’s board, sold 1,116 shares on Friday at a weighted average price of $114.06 per share, cutting his ownership to 19,369 shares.

The business process services company has seen its market capitalization jump by 24% since the start of the year. In early-August, SYNNEX Corporation (NYSE:SNX) acquired global outsourcing business solutions company Minacs for a preliminary purchase price of $435.6 million. The acquisition was integrated into the company’s Concentrix business segment, which offers a portfolio of strategic solutions and end-to-end global business outsourcing services focused on customer engagement strategy, process optimization, technology innovation, front and back-office automation, and business transformation. Blue Mountain Capital, founded by Andrew Feldstein and Stephen Siderow, was the owner of roughly 19,000 shares of SYNNEX Corporation (NYSE:SNX) on June 30.

The final page of this article will discuss the fresh insider selling at two other companies.