A wave of insider transactions hit the market last week, with Palantir Technologies Inc. (PLTR) dominating headlines after its three top executives sold a combined $120 million in stock on May 20, 2026. The sales, though substantial, were automatic transactions executed to cover tax obligations tied to the vesting of restricted stock units (RSUs), under pre-arranged Rule 10b5-1 trading plans.
CEO Alexander Karp sold 397,744 Class A shares for approximately $54.1 million, at prices ranging from $132.48 to $136.835. CTO Shyam Sankar unloaded 165,514 shares for $22.5 million, and President Stephen Cohen sold 319,934 shares for $43.5 million in the same price range. All three deals were non-discretionary, triggered by the vesting of previously granted RSUs, which were converted from Class B to Class A shares and immediately sold. Despite the sales, the executives retain significant holdings — Karp still holds over 6.4 million Class A and 52 million Class B shares, while Cohen holds nearly 14 million Class B shares.
The selling came just two days after Palantir reported a strong Q1 2026 earnings beat, with EPS of $0.33 on revenue of $1.633 billion, surpassing estimates. Analysts remain cautiously optimistic: Freedom Broker raised its price target to $230, while Rosenblatt reiterated a Buy rating with a $225 target. However, PLTR trades at a rich P/E of 154, and InvestingPro analysis deems the stock overvalued relative to its fair value.
Other notable insider activity included CVS Health director Larry Robbins, who sold 3.37 million shares worth $317 million, slashing his indirect holdings by 41%. At AMC Entertainment, CEO Adam Aron bought 250,000 shares for $344,350, boosting his total stake to 2.44 million shares. TWFG director Michael Doak spent $620,652 on shares near a 52-week low, while Microsoft EVP Amy Coleman trimmed 2.7% of her direct holdings. Taiwan Semiconductor saw both a buy and a sell from two vice presidents: Tzu-Sou Chuang sold $13.96 million in shares, while Bor-Zen Tien bought $139,810.
While insider trading often catches attention, experts caution that such transactions stem from various motivations — tax planning, portfolio diversification, and scheduled plans — and do not necessarily signal a change in company fundamentals.
