3 ms·

I don't know what their RSU agreement is like but typically you are not able to short your own stock.

• ThrustVectoring 9y ago
  That just makes the most obvious classes of "your actions cause a short position" not an option. Like, if you tell your cousin that you plan on giving him a certain number of shares when your lockup period expires, and he decides he likes the current price better and shorts it in advance, what sort of lock-up contract would prevent that? The cousin isn't an employee or their spouse so isn't restricted from shorting now, the promise to gift stock is extraordinarily unlikely to be prohibited (or even discoverable), and the gift itself is above-board.
  • whatok 9y ago
    So insider trading is causing 26% short interest?
    • ThrustVectoring 9y ago
      No, and I don't think I claimed it did? Mostly just that back-channel shorting would be extraordinarily tempting while subject to a lock-up. That, and you can't really keep employees from saying that they plan on selling stock when their lock-up expires, and you can't keep the lock-up period under wraps, so the market will try to estimate the size of the impending sell-off and get in front of it with short positions.