So Patrick Byrne (via his 
So Patrick Byrne (via his 100% wholly owned entity High Plains Investments, LLC) sold 140,000 OSTK shares in the past five days and that has a few people talking/wondering aloud about what the hell is going on.
Barry Ritholtz, who is long OSTK (quantitative drivers) despite, “I…think it is a steaming pile of shit, that the CEO is an asshole, and that the entire company is probably corrupt,” is really curious:
Is Byrne in possession of material insider information? Would he be so stupid as to sell the shares? (I doubt anyone could be that dumb).
Perhaps he sees a favorable outcome to the SEC investigation? Maybe he is raising money to pay a fine?
These are all excellent jumping off points (although we disagree with the notion “I doubt anyone could be that dumb”) but let’s explore other possibilities:
A) Segways for the KPMG audit team.
B) Reverse Psychology – he’s done fighting the short selling crowd (or is he?)
C) He’s going to apologize to Sam Antar monetarily (how generous he will be, is another matter entirely).
D) He needs some cash for a Father’s Day gift.
E) Needs to feed the Farmville addiciton.
These are merely some ideas. And there’s always the possibility that PB has gone right out of his mind. Share your own, should you feel inclined.
Long OSTK, Short Byrne [The Big Picture]
Proxy Statement/Schedule 14A [SEC.gov]
Patrick Byrne Pockets $3.1 Million from Dumping Overstock.com Shares [White Collar Fraud]
Patrick Byrne Dumps His Overstocked Overstock Shares [Gary Weiss]
