It hurts the other shareholders a lot more than it hurts the companies. The stock price would drop precipitously if a huge block of shares was sold like that. T

It hurts the other shareholders a lot more than it hurts the companies. The stock price would drop precipitously if a huge block of shares was sold like that. The main way I see it hurting the companies is that stock price is a proxy for the value of the companies that can affect their ability to borrow or raise more capital through selling stock.