Skip to main content

The link in this original thread explains exactly why the CSO of CrowdStrike sold $1.5M of stock.

If people are too lazy to read the article I provided—and opt instead to spread conspiracy theories—that’s on them, not me.
RE: https://atomicpoet.org/objects/47228e0f-7c67-4ad6-bee0-defd8f06f9ae

Chris Trottier

2024-07-19 23:35:10


Wow! 😲

CrowdStrike’s CSO sold $1.5M worth of stock right before the outage today!

I repeat, the Chief Security Officer sold $1.5M worth of stock!

https://www.barrons.com/articles/crowdstrike-insiders-sold-stock-cac5e509?siteid=yhoof2



CrowdStrike Insiders Sold Stock Before the Outage. How That Happened.

Two insiders at the cybersecurity firm—including its chief security officer—sold stock earlier in July. Yet they likely weren’t any more aware of an upcoming outage than anyone else.
Ed Lin (Barrons)

HistoPol (#HP) reshared this.

in reply to Chris Trottier

Chris Trottier
Chris Trottier
• •

And certain people say I was “implying” a conspiracy theory with my “tone”.

First off, I don’t do “read between the lines”—and it offends me when people say otherwise.

I am, however, allowed to be impressed with the series of events that happened with the CrowdStrike outage. And I think a lot of other people are too.

in reply to Chris Trottier

Stella Campbell
Stella Campbell
• •
Perhaps it was your "Wow" & 2 exclamation marks that led them in that direction.
in reply to Stella Campbell

Chris Trottier
Chris Trottier
• •

@SCampbell Why?

A “wow” is a “wow”. As in, this is a stunning course of events—which it is.

A shocking situation elicits shock.

@Stella Campbell
in reply to Chris Trottier

Kris
Kris
• •
Except that the article seems to be behind a paywall.
in reply to Chris Trottier

HistoPol (#HP)
HistoPol (#HP)
• •

@kris

"#CrowdStrike Insiders Sold Stock Before the Outage. How That Happened."

It is to me, too.

This link is not, but should read with a VPN:

https://archive.ph/2Ndf4

#crowdstrike @Kris
in reply to Chris Trottier

Jennifer Kayla | Theogrin 🦊
Jennifer Kayla | Theogrin 🦊
• •

I will say it's rather remarkable timing. Still, if the set-up-a-year-in-advance sale had happened yesterday, after the stock plummeted like a stone thrown from the Goodyear Blimp, would anyone have cared? Other than the CSO, that is.

Strange coincidences happen, black swans crop up, people just don't seem to get that if you're looking at a big enough sample (be it in time or girth), sooner or later you're going to spot a peculiarity.

Wow! 😲

CrowdStrike’s CSO sold $1.5M worth of stock right before the outage today!

I repeat, the Chief Security Officer sold $1.5M worth of stock!

https://www.barrons.com/articles/crowdstrike-insiders-sold-stock-cac5e509?siteid=yhoof2


CrowdStrike Insiders Sold Stock Before the Outage. How That Happened.

Two insiders at the cybersecurity firm—including its chief security officer—sold stock earlier in July. Yet they likely weren’t any more aware of an upcoming outage than anyone else.
Ed Lin (Barrons)

Lisa Melton reshared this.

in reply to Chris Trottier

Chilly :donor:
Chilly :donor:
• •
I think it was early July if I read that correctly
in reply to Chris Trottier

Chilly :donor:
Chilly :donor:
• •
Okay so it was sold four days before the outage not the day of or before
in reply to Chilly :donor:

Dr.Nick
Dr.Nick
• •
@chillybot so? Those are automated months in advance due to insider trading laws.
@Chilly :donor:
in reply to Chilly :donor:

Chai T. Rex 🦖
Chai T. Rex 🦖
• •
@chillybot From the article: "The executives, including the cybersecurity company’s chief security officer, sold through so-called 10b5-1 plans, which are meant to remove any potential to benefit from knowledge of material nonpublic information."
@Chilly :donor:
in reply to Chris Trottier

Gilgwath
Gilgwath
• •
😂 well, tbh. They knew their day is going to be a nightmare. Might as well make the best of it. On the otherhand, somebody should hold their nuts to a bunsen burner for insider trading.
This entry was edited (1 week ago)
in reply to Gilgwath

Chris Trottier
Chris Trottier
• •
@gilgwath To be clear, I’m not accusing anyone of insider trading. It looks like the sale was known a year in advance. But the timing is amazing.
@Gilgwath
in reply to Chris Trottier

Andy Nortrup :cascadia: 🌳
Andy Nortrup :cascadia: 🌳
• •

yha, this was a scheduled trade, most public.sictor execs are on scheduled trade plans so that they can't be accused of insider trading.

https://www.msn.com/en-us/money/companies/crowdstrike-insiders-sold-stock-before-the-outage-how-that-happened/ar-BB1qixag

https://www.investopedia.com/terms/r/rule-10b5-1.asp


Rule 10b5-1 Definition, How It Works, SEC Requirements

The SEC's Rule 10b5-1 allows stock trades to be set up in advance by public companies' officers or directors to avoid accusations of insider trading.
Adam Hayes (Investopedia)
in reply to Andy Nortrup :cascadia: 🌳

Chris Trottier
Chris Trottier
• •
Yes, that’s what the article I originally linked to already said.
This entry was edited (1 week ago)
in reply to Chris Trottier

Infoseepage #StopGazaGenocide
Infoseepage #StopGazaGenocide
• •
Your emphasis that he was the chief security office, with bold on the security sure makes it seem to me that this was a case of someone in the know getting out while the getting was good. I'm not sure what other implication to take from your post. "Boy was this guy lucky to get out at the right time" doesn't seem quite the thing.
in reply to Infoseepage #StopGazaGenocide

Chris Trottier
Chris Trottier
• •

@Infoseepage The implication is that it’s impressive timing for a CSO to sell his stock.

Which I’m sure you’d agree with.

@Infoseepage #StopGazaGenocide
in reply to Chris Trottier

levampyre
levampyre
• •
It was scheduled. So there's actually nothing too impressive about the timing. @Infoseepage
@Infoseepage #StopGazaGenocide
in reply to levampyre

Chris Trottier
Chris Trottier
• •

@levampyre @Infoseepage It’s certainly impressive when you consider CrowdStrike’s stock price fell big time today, and is likely to fall further.

What was worth $1.5M on Monday is certainly not worth that today.

Scheduled or not, that’s the reality.

@Infoseepage #StopGazaGenocide @levampyre
in reply to Chris Trottier

levampyre
levampyre
• •
That is true. The amount of profit or loss avoidance he gained from this sale is certainly impressive. But you were implying a deliberately timed, strategic sell of stocks possibly based on some inside knowledge, which this very likely wasn't. @Infoseepage
@Infoseepage #StopGazaGenocide
in reply to levampyre

Infoseepage #StopGazaGenocide
Infoseepage #StopGazaGenocide
• •
@levampyre Also posted this earlier. He's clearly implying that people knew this was about to happen.
@levampyre
in reply to Infoseepage #StopGazaGenocide

levampyre
levampyre
• •
@Infoseepage I mean, sure, you can wonder, if this was a coincidence. I'm sure the SEC will wonder that, too, and investigate in more detail. But the stock sell itself clearly was not "timed" in that sense. It was a scheduled sale, a measure that is in place explicitly to avoid insider trading. If he had never sold stock before during any of these scheduled trading windows and only did it on July 15th, that would be significant to me. But that's also not the case, afaik.
@atomicpoet
@Infoseepage #StopGazaGenocide @Chris Trottier
in reply to levampyre

Chris Trottier
Chris Trottier
• •

I am not implying anything and it is offensive you’re suggesting otherwise.

I am allowed to be impressed with the timing of a stock sale.

I’m also allowed to wonder if something was a coincidence.

All that said, I don’t do “read between the lines”.

This entry was edited (1 week ago)
in reply to Chris Trottier

levampyre
levampyre
• •
You might not have intended to imply insider trading. But the replies to your original post clearly show that other readers also understood your post to imply insider trading. If you do not intend to imply insider trading maybe edit your post to clarify your actual intend?
@Infoseepage
@Infoseepage #StopGazaGenocide
in reply to levampyre

Chris Trottier
Chris Trottier
• •

@levampyre @Infoseepage No, I’ve explained more than once, not just to you, that this is unlikely to be insider trading.

What is written literally should be interpreted literally, and if someone else believes otherwise—without reading the link which I’ve generously provided—that’s on them.

@Infoseepage #StopGazaGenocide @levampyre
in reply to Chris Trottier

Syn-ACK, Key Cap Wrangler :facepalm:
Syn-ACK, Key Cap Wrangler :facepalm:
• •

Well of course I can't find it now that I want it, but I was reading an article earlier that this was an automatic stop-loss trigger that had been set 2 years ago. It's a fairly common occurrence in companies to prevent stockholders from losing too much money in the event of a massive loss. Since the Crowdstrike listing fell like 20% today (or maybe even more now, I haven't seen), that quick drop triggered the sale.

So the timing seems suspect, but it's apparently working as designed and was something set in motion as a hedge, likely when that person became CSO and got some massive stock in the company.

This entry was edited (1 week ago)
⇧