The timing (12 days post-earnings, all same day, same price) indicates coordinated post-blackout-window sales, not informed bearish conviction. The dollar amount is immaterial at 0.05% of market cap. Monitor Q2 2026 for sustained revenue growth trajectory, as the raised FY26 guidance ($169.25M-$178.75M) is the more impactful signal than this nominal insider selling.
Price Chart
Executive Summary
Four C-suite insiders at CS Disco sold shares on May 18 at $3.61, raising $114K total (0.05% of $233M market cap), while the CEO's tax-withholding transaction on May 16 had $0 economic value. The sales occurred just 12 days after CS Disco reported a Q1 revenue beat and raised 2026 guidance, suggesting these are likely routine post-blackout-window liquidity trades rather than a bearish signal.
Key Financial Metrics
Key Facts
- 4 open-market sales by EVP-level insiders on May 18, all at $3.61/share, totaling ~$114K
- CEO Eric Friedrichsen's May 16 tax-withholding surrender of 44,492 shares ($170K) was a $0 economic transaction
- Total cluster value ($114K) is only 0.05% of LAW's $233M market cap
- Sales occurred 12 days after CS Disco's Q1 2026 earnings beat (revenue $41.9M, +14% YoY) and raised full-year guidance
Financial Impact
Open-market sales total $114K, representing 0.05% of market cap — trivial relative to company size
Risk Factors
- If all four EVPs continue selling at material volumes in subsequent windows, it could signal waning confidence in the growth story
- GAAP EPS miss (-$0.15 vs consensus -$0.09) may weigh on valuation if profitability improvement stalls
- Revenue guidance midpoint implies ~12% YoY growth for FY2026 vs 14% in Q1 — deceleration could pressure the stock
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 SEC document filed with EDGAR.
| Document | Accession Number |
|---|---|
| CLUSTER Data (Synthetic) | cluster-LAW-1779221477548 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Aug 19, 2026 9w ago | Insider Cluster | $4.34 | awaiting T+60 | — | $5.04 (+16.13%) |
Aug 5, 2026 11w ago | 8-K | $4.05 | awaiting T+60 | — | $5.04 (+24.44%) |
Jul 23, 2026 13w ago | 8-K | $3.52 $4.69 | ▲ +33.24% | ▲ +28.69% | $5.04 (+43.18%) |
Jun 11, 2026 19w ago | Institutional Cluster | $3.58 $4.24 | ▲ +18.44% | ▲ +14.04% | $5.04 (+40.78%) |
May 19, 2026 23w ago | Insider Cluster | $3.84 | awaiting T+60 | — | $5.04 (+31.25%) |
May 6, 2026 24w ago | 8-K | $3.72 $3.90 | ▲ +4.84% | ▲ +2.78% | $5.04 (+35.48%) |
Apr 23, 2026 26w ago | 8-K | $3.94 $4.11 | ▲ +4.31% | ▼ −0.70% | $5.04 (+27.92%) |
Feb 27, 2026 34w ago | Insider Cluster | $3.25 $3.79 | ▲ +16.62% | ▲ +7.23% | $5.04 (+55.08%) |
Feb 27, 2026 34w ago | Insider Cluster | $3.25 $3.79 | ▲ +16.62% | ▲ +7.23% | $5.04 (+55.08%) |
Feb 27, 2026 34w ago | Insider Cluster | $3.25 $3.79 | ▲ +16.62% | ▲ +7.23% | $5.04 (+55.08%) |
US Market Status
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