Oil executives are selling their shares

Investment Analysis Clubs Macro Economic Trends and Risks
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Big Oil critics may have finally got some literal proof that the oil industry benefits directly from the imbalance of supply and demand: Big Oil executives are selling shares in their companies worth millions.

According to calculations made by Bloomberg, the chief executive of Hess Corp. alone sold stock worth $85 million in the first quarter in several deals, while the head of Marathon Oil sold $34.3 million. For the industry overall, more executives sold than bought shares in their companies, according to figures from Verify Data, cited by Bloomberg.

Yet the news of Big Oil executives selling millions of dollars worth of shares might be considered good news by … the White House. According to Bloomberg, the selling could signify that a price decline is on the horizon.

https://oilprice.com/Energy/Crude-Oil/Why-Are-Big-Oil-Execs-…

Jaak

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Or it could be due to the fact oil will begin to be less critical as a source of fuel (gasoline/diesel) and more for industrial uses/applications. The best time to get out is when the price is high (demand is high–but for how long?).

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Yet the news of Big Oil executives selling millions of dollars worth of shares might be considered good news by … the White House. According to Bloomberg, the selling could signify that a price decline is on the horizon.

You are reading way too much into this. Refining stocks are quite cyclical. And with Covid they had some very bad years. More than half our options are still not as high as their strike price. Diversification happening as the strike price finally will net you a profit when you sell? You bet. Beyond that, no news here.

IP

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