Some of the major U.S. indexes began recovering on Wednesday, following the Trump administration’s announcement of a one-month delay on tariffs for automakers meeting the United States-Mexico-Canada Agreement (USMCA) requirements. The news sparked enthusiasm among traders, who began hoping for additional exemptions, causing the major stock indexes to rise slightly.
Blue-chip companies gained 485.60 points or 1.14%, the broader market index rose 1.12%, while the NASDAQ stocks increased 1.46%. These rebounds come during a volatile week following a period of consecutive declines.
Although many analysts have lowered their U.S. stock forecasts, citing that strong earnings in 2025 may be more challenging to achieve, the broader market index is still projected to end the year about 9% higher than in 2024. However, this is lower than the initial forecast of 12.2%, made in early January.
On the other hand, the big bets for this year are a productivity boost from the adoption of AI and the projection of lower interest rates. Dan Ives, global head of technology research at Wedbush Securities, said that while tariffs are never good for Wall Street, investors should take advantage of these periods to invest in the best tech stocks, reports CNN Business.
Amid market fluctuations and uncertainty, insider trading often attracts significant attention. Executives and insiders, with their in-depth knowledge of company strategies, plans, and future prospects, may make trades worth analyzing. For instance, when a CEO or CFO invests their own funds in company stock, it can serve as a strong indicator of confidence in the company’s future potential.
Selling shares, on the other hand, may suggest that management is losing confidence, though this is not always the case. In some instances, large shareholders may simply be rebalancing their portfolios to better align with their desired risk/reward profile or selling for personal financial reasons. Additionally, many insiders sell shares as part of pre-arranged, automated trading plans known as 10b5-1 plans.
Both insider buying and selling can be influenced by various factors, so these actions should be interpreted within the broader context of the company’s financial health, industry trends, and overall market conditions. This highlights the importance of conducting thorough research before making investment decisions. While insider trading activity can offer valuable insights into a company’s prospects, it should be considered alongside other critical factors to ensure well-informed investment choices.
Today, we’re focusing on stocks that have seen insider sales of at least $10 million since the start of the year. Using Insider Monkey’s insider trading screener, we identified stocks where at least one insider sale reached $10 million or more. While the total value of insider sales for these stocks may be higher, we focused on sales worth $10 million or more. Out of the stocks that met this criterion, we selected the 10 stocks with insider sales ranging from $10 million to $20 million, prioritizing those with the highest insider sales within this range for further analysis.
Our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds, focusing on insider trading and stock picks from hedge fund investor newsletters and conferences. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
For each stock, we provide details on the highest individual sale, the number of insider sales exceeding $10 million year-to-date, and the company’s current market capitalization. Let’s take a look at 10 stocks with at least $10 million in insider sales since the beginning of the year.
Is Trade Desk, Inc. (TTD) the Tech Stock with High Upside Potential?
A large array of computer screens and tech equipment representing the technology company's self-service cloud-based platform.
The Trade Desk, Inc. (NASDAQ:TTD) is a technology company, which provides a self-service cloud-based ad-buying platform that enables users to manage and optimize data-driven digital advertising campaigns. The platform covers various formats, such as video, audio, digital-out-of-home, and social on multiple devices. The Trade Desk, Inc. (NASDAQ:TTD) is also one of the 10 tech stocks with high upside potential.
Since the beginning of the year, the company’s CEO and president, Terry Jeffrey Green, made six sales of the company’s shares in his ownership. One transaction was worth $19.84 million, during which Green sold 164,166 shares at a price of $120.86 per share. Currently, the stock is trading at $66.54, having declined 43.38% year-to-date.
For the full year of 2024, The Trade Desk reported revenue of $2.44 billion, up by 25.63% from 2023. Net income was $393.08 million, an increase of 119.67% year-over-year.
“The Trade Desk once again outpaced nearly every segment of digital advertising in 2024, delivering $2.4 billion of revenue – marking accelerated growth of 26% year over year – and a record $12 billion of spend on our platform,” stated Green. “At the same time, we achieved significant profitability and cash flow. While we are proud of these accomplishments, we are disappointed that we fell short of our own expectations in the fourth quarter.”
On February 12, when the company announced the results, the stock price dropped 32.97%.
Thirty-one analysts have an average “Buy” rating on the stock, with a price target of $118.39, according to StockAnalysis.
Overall TTD ranks 2nd on our list of the stocks with at least $10 million in insider sales recently. While we acknowledge the potential of TTD as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TTD but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
