In a wave of high-profile stock selloffs preceding a major shift in U.S. trade policy, Meta Platforms Inc. CEO Mark Zuckerberg and several other top American executives offloaded billions of dollars’ worth of shares in the first quarter of 2025.
The timing, just weeks ahead of President Donald Trump’s April 2 announcement of sweeping reciprocal tariffs, has drawn renewed scrutiny over insider trading practices during periods of geopolitical and economic uncertainty.
Zuckerberg led the pack, divesting approximately $733m worth of Meta shares between January and March through the Chan Zuckerberg Initiative and its related foundation.
The sales, executed under a pre-arranged 10b5-1 trading plan established in August 2024, involved about 1.1m shares, according to data from Washington Services cited by Bloomberg.
While Meta shares were initially resilient, Trump’s declaration of a new tariff regime rattled equity markets, sending tech stocks into a tailspin. Meta was among those impacted, contributing to a drop in Zuckerberg’s net worth to $178bn — the lowest point of the year, according to the Bloomberg Billionaires Index.
The share sales have sparked debate among market watchers and corporate governance experts over the ethics and optics of executive divestments ahead of sensitive policy shifts. Though legal under the Securities and Exchange Commission’s Rule 10b5-1, critics argue that such transactions can erode investor trust, particularly when timed before significant market-moving events.
Zuckerberg’s monthly stock option sales have reportedly continued into April, totaling an additional $565m in disposals, partially offset by an estimated $100m in exercise costs.
He was not alone. CEO of Oracle Corp., Safra Catz sold approximately $705m in stock options in January when Oracle shares were trading near record highs of $180.
Known for maintaining a relatively limited direct stake in the company, Catz’s transactions were also part of a pre-established plan tied to executive compensation.
Other prominent figures followed suit. Nikesh Arora, CEO of cybersecurity firm Palo Alto Networks Inc., sold 2.36 million shares worth more than $432m.
Max de Groen, a Nutanix Inc. board member and partner at Bain Capital, divested 5.5 million shares valued at roughly $410m. Chuck Davis, a director at Axis Capital Holdings Ltd. and co-CEO of Stone Point Capital, sold 4.3 million shares for nearly $400m.
Stephen Cohen, President of Palantir Technologies Inc., capitalized on a significant stock rally, selling 4.06 million shares for an estimated $337m. The company’s stock nearly doubled in value between January and February.
JPMorgan Chase Chairman and CEO Jamie Dimon also joined the selling spree, disposing of 866,361 shares worth $233.8m on February 20.
He later sold an additional 133,639 shares for $31.5m in April, pushing his total 2025 sales past $265m.
Eric Lefkofsky, CEO of Tempus AI Inc., sold over 4 million shares valued at $231.5m under a 10b5-1 plan, which distributes 1 per cent of his stake on a quarterly basis.
Netflix Co-CEO Ted Sarandos liquidated 199,063 shares for $194.9m as part of a new trading plan that extends through February 2026. Travis Boersma, co-founder of Dutch Bros Inc., sold 2.5 million shares over five days in February, generating approximately $189.6m.
The synchronized timing of these substantial insider sales ahead of Trump’s tariff announcement has reignited calls for stricter disclosures and potential reforms to trading plan rules.
While none of the sales have been flagged as illegal, the pattern has heightened concerns about how executives leverage advance knowledge of political or economic developments to mitigate personal financial risk.
The broader market has reacted sharply to the evolving trade landscape. Analysts warn that further policy uncertainty, especially around tariffs and international trade relations, could sustain volatility across technology and manufacturing sectors in the months ahead.
Meta CEO, Other Tech Executives Sold Over $5bn Shares Before Trump’s Tariffs is first published on The Whistler Newspaper
Source: The Whistler
