Thread regarding Chevron Corp. layoffs

The dividend is the only thing they can really control. The rest depends on prices and the knuckleheads in Operations.

In multiple tiwn halls MW has mentioned how important Chevron stock is for starving retired educators and thats why we need to do anything possible to keep the dividend high (including mass layoffs). Guess he doesn't truly believe in it all selling off so much.

All ABU are receiving 15 shares per year of service this PMP. So guess they are pretty happy down under.

I agree. Good question for the next town hall!

The crazy thing is that it is all public and yet they act like nothing is happening, telling everyone to buy the stock.

share buyback operations to benefit share and stock option holders usually happens when?

Umm, YOU clearly do not know how these work. An option grant is the right, but not the obligation, to buy at a pre-determined price. That’s all.

So, if in 2012 you were granted the right to buy at $108 (the “strike price”) you would never exercise that right at a price lower than that. If you wanted to buy stock, just use Robinhood and buy from the market at the lower price.

If the price is above $108, you can exercise the right to buy and (a) pay cash for all the shares, or (b) have your broker buy and then sell at the same time, and walk away with the “spread” between the market price and $108.

So if you have 10,000 options as noted above and the price is $115 you can either (a) come up with $1.08 million to buy the shares and hold them ($108 x 10,000), or (b) buy/sell simultaneously and make $70,000 ($115-$108 = $7; $7 x 10,000 = $70,000).

And BTW, you owe Federal income tax and CA state income tax (if you are unlucky enough to live there), so the $70,000 becomes $35,000 right away.

That is how it works. And you don’t even need to go to college to learn it.

They will all be shopping for new Ferraris to keep up with the defrocked CALAEP President.

Um, you may not understand how options work. These are all free grants!

I actually went to SEC website and CVX proxy. Poster who says these are 2012 options is correct. MW actually paid $9 million and then sold for $9.1 million. Same kind of thing for others. More surprising they all held onto these for nearly ten years, rather than that they are selling before they expire.

Good for them, it’s their stock, they would be foolish to not harvest some profits.

All of us peons in the peanut gallery watch while the fat cats cash out hundreds of millions for more homes, jets, yachts, etc.

https://www.marketbeat.com/stocks/NYSE/CVX/insider-trades/

They are selling time limited stock options. Many of the recent options have expired out of the money.

so selling off while warren buffett carrying the risks?

They should be ashamed of themselves. But I’m not surprised!

If they are selling their stock because the price of oil is temporarily going down, then they are missing the oil price trend that is going no place but higher. More likely they don't want all their eggs in one basket and want to diversify their portfolios, which is a smart action to take. Who knows what is going to happen in 2022. There is already talk (B. Gates) of a smallpox plague potentially breaking out, which would be much worst than covid. Talk about lockdowns on steroids.

They are exercising their stock options. Time is running out and cannot hold it much longer. They’ll lose it if not sold.

The vast majority of these are circa 2012 options that expire in January 2022 with a $107 strike price. You actually have to exercise them before the expiry date. So they held them for 9 years, 10 months. Also, they can only trade during limited windows after the quarterly earnings. So this is the last time to use them…before Nov 30.

They should be fired for selling Chevron stock. Ken Lay pulled the same c r a p. Talked up the stock to investors but dumped his own like a t u r d out of a cow’s a s s.

So much judgment . You have no idea why they are selling stock, If you ask me it makes total sense to sell when the stock is high, that just prudent money management you would probably do the same too sounds to me like, sour grapes, I would now and buy back lower when the oil prices retreats, Not taking advantage of higher prices to sell some is IMHO not greatest way to place one's investments. There also the matter of balancing ones portfolio so as not to become overweight in one stock. Nothing to do with confidence in Chevron.

Stock price might hold up better if these crooks weren’t flooding the market with so many shares.

This is nothing new, it's been going on for decades. Yes, any of us are allowed to sell our Chevron stock (assuming you're still taking it in your 401(k)), the difference being that our management receives oodles of very lucrative stock options, so their profit on the sales is even more obscene.

OP, "pay no attention to these men behind the curtain" is so true. Our management is completely opaque on this matter, hiding behind thick, wordy SEC filings as the only evidence of their lack of confidence in their own company and their own decisions. Read through the section "compensation of executive management" in the annual report (conveniently buried very deeply in the report) and you'll find many other favorable treatment and perks for our management (and their wives). Lately, many boondoggles for the family to visit Perth.

What would be fair? At least requiring that their stock option sales only occur after they depart the company, so that they would have a stake in their long-term decisions.

It’s good to be the King!