Yesterday, the market was none too pleased when they learned First Solar’s (FSLR) CEO Michael Ahearn had unloaded a total of half his stock. And now bullish Cowen has rushed to reassure everyone that Ahearn isn’t just running for the hills.
Cowen points out that Ahearn still owns a substantial stake in First Solar (over 3 million shares) and simply writes off the sale as portfolio diversification. They maintain their OUTPERFORM rating on FSLR.
We’ve heard that “substantial stake” argument before. And we can’t recall–ever, in a 15 year career–seeing the CEO of a well-positioned company dump half of his position this quickly. The company only IPO’d in November 2006.