Representative Shri Thanedar from Michigan reported a sale of Tesla TSLA stock, according to a February filing. The transaction took place on February 9, 2023.
What Happened: A Periodic Transaction Report from the House of Representatives Clerk’s Office on February 9, 2023 showed that Thanedar sold $52,003 – $130,000 of Tesla stock.
Tesla shares are trading down 2.95% at $201.2 at the time of writing.
Why Congressional Transactions Matter
Congressional transactions shouldn’t be used primarily to make an investing decision, however, they can be an important factor for an investor to consider.
A Congressional transaction is when any Representative or Senator either buys or sells an individual stock. Anyone working in Congress must file a Periodic Transaction Report to inform the public of their recent transaction within 30 days of being notified of the transaction and within 45 days of the transaction date.
When a Senator or Representative makes a new purchase, that could be an indication that they expect the stock to rise.
A sale, on the other hand, can be made for a variety of reasons, and may not necessarily mean that the seller thinks the stock will go down.
In April 2012, Former President Barack Obama signed the STOCK Act into law. The act prohibits members of Congress from using private information given to them by their position for personal gain such as buying or selling a stock. The act also expanded disclosure requirements for members of Congress by requiring them to file a monthly disclosure.
A February filing states that Michigan Representative Shri Thanedar sold shares of Tesla. The exact amount of the transaction remained unknown but the filing states a range of $52,003 – $130,000.
This article was generated by Benzinga’s automated content engine and reviewed by an editor.