The executives have frequently reduced their shareholdings, and the stock price has plummeted, with a three-day decline of nearly 13%. As of press time, Nvidia fell again by 1.11% after hours, to US$116.8. In addition, institutions like Coherent (COHR.US) and other chip stocks' executives are also selling their own stocks. Among CEOs in the chip industry, Nvidia CEO Huang Renxun is the one selling the most shares. $NVIDIA (NVDA.US)$Moreover, other chip stocks such as Coherent (COHR.US) and others are also selling their own stocks. Among CEOs in the chip industry, Nvidia CEO Huang Renxun is the one selling the most shares.

Coherent (COHR.US) and other chip stocks' executives are also selling their own stocks.$Micron Technology (MU.US)$, $Qualcomm (QCOM.US)$ and $Coherent (COHR.US)$executives in the chip industry, Nvidia CEO Huang Renxun is the one selling the most shares.

After cashing out 720,000 shares, Huang Renxun can still cash out 5.28 million shares before March 2025.

According to documents filed with the US Securities and Exchange Commission (SEC), through the March 14th adopted “10b5-1 Rule Trading Plan,” Huang Renxun has gradually sold 720,000 shares of NVIDIA stock cumulatively between June 13th and 21st, cashing out a total of 94.6 million US dollars, with an average selling price of $131.44 per share.

After this transaction, Huang Renxun personally holds 80.7 million shares of NVIDIA stock in his account. In addition, he controls 605 million shares through trusts, 49 million shares through partnerships, and 132 million shares of NVIDIA stock through other trust methods.

It is reported that when submitting the sales plan, Huang Renxun originally planned to sell no more than 600,000 shares of NVIDIA stock. However, this plan was formulated before the company implemented a 10-to-1 stock split, which took effect after the stock market closed on June 7th. Based on the adjusted calculation after the stock split, his sales plan now covers 6 million shares of stock. Currently, Huang Renxun has sold 720,000 shares, which means he will sell an additional 5.28 million shares. This plan will continue until March 2025.

In addition, NVIDIA's CFO Colette Kress and other executives, including EVP Deborah Shoquist, have also sold shares, involving amounts exceeding tens of millions of dollars.

According to Washington Service's data, excluding the impact of the 1 stock split into 10 stocks on June 10th, NVIDIA's executives and directors have sold a total of approximately 770,000 shares of stock, cashing out more than 700 million US dollars, equivalent to approximately RMB 5.1 billion. Since NVIDIA announced its first-quarter earnings on May 22, more than one-third of insiders have chosen to sell their shares, setting a new record for several years.

It is worth noting that Huang Renxun's selling plan was announced as early as the end of March this year. At that time, NVIDIA mentioned in its quarterly financial report that Huang Renxun will sell up to 600,000 shares of stock through the 10b5-1 sales plan by the end of March 2025. Market analysts pointed out that the stocks sold by Huang Renxun this time are part of his executive compensation plan, including restricted stock units (RSUs) and performance stock units (PSUs), which is a common practice for CEOs of companies under certain conditions.

Public information shows that because of the nature of their positions, executives and internal staff often know some important information before it is publicly announced, which may affect the stock price of the company. In order to prevent these insiders from using this information for unfair trading, the US Securities and Exchange Commission (SEC) allows executives and internal staff to establish so-called “10b5-1 plans”.

This plan must be established before the insider knows any significant non-public information, so executives such as Huang Renxun use this pre-established trading plan to eliminate suspicion of using non-public information for trading. Once established, these plans will automatically execute trades when certain conditions, such as stock price and trading volume, reach predetermined levels.

Last September, Huang Renxun sold 237,500 shares of NVIDIA stock through such pre-set trading plans, cashing out a total of US $110 million, with an average selling price of US $463.95 per share (before the stock split).

The executives of Micron Technology, Qualcomm, and Coherent sold more than last year.

It is reported that Sanjay Mehrotra, President and CEO of Micron Technology, has also sold a large amount of stock this year. From January to June, he has cumulatively sold 457.28 thousand shares of stock through option plans, cashing out a total of US $52 million, with an average selling price of $113.65 per share. Since the beginning of this year, Micron Technology's stock price has soared by 64%, and Mehrotra's average selling price of stock has risen from around $82 in early 2021 to about $152 in mid-June.

Mehrotra's sales volume and amount have increased significantly compared to last year. In 2023, he sold 342 thousand shares at an average price of $74.57 per share, with a total cash-out amount of $25.5 million.

In addition, Cristiano Amon, President and CEO of Qualcomm, has sold 40.5 thousand shares of stock from January to May, cashing out a total of $6.9 million, with an average selling price of $169.92 per share. Since the beginning of this year, Qualcomm's stock price has risen by 47%, and Amon's average holding price has risen from about $150 in January to about $190 in mid-May.

His most recent stock sale occurred in December 2021, when he sold 5400 shares of stock through a planned transaction at a price of $189.50, cashing in a total of $1.02 million.

In addition, Vincent "Chuck" D. Mattera Jr., CEO of Coherent, has been serving as chairman of the board since 2021. In February of this year, he told the board that he had worked for the company for 20 years, the last eight as CEO, and he planned to retire once a successor was found.

However, informing the board of his retirement did not stop Mattera from selling shares. From March to May of this year, he sold 15,000 shares of Coherent stock through a trading plan, totaling $846,700, at an average selling price of $56.45 per share. According to a transaction plan adopted by Mattera on December 7, 2021, he plans to sell up to 65,000 shares of Coherent stock by the end of 2024 and use stock options to buy and sell up to an additional 128,620 shares of stock.

In 2023, Mattera sold 61,000 shares of stock through a series of planned transactions in June at a price of $54 per share, cashing in a total of $3.3 million. By 2024, Coherent's stock price had risen significantly by 65%.

On June 3, the company announced a new CEO, Jim Anderson, who previously served as the President and CEO of Lattice Semiconductor. With Mattera's retirement and departure from the board of directors, he is no longer considered an insider and therefore no longer needs to disclose his trading activity in Coherent stocks to regulatory agencies.$Lattice Semiconductor (LSCC.US)$Lattice Semiconductor's President and CEO.

Edited by Jeffrey