The CEO's purchase suggests confidence, but the director's larger sale and the weak earnings fundamentals (gross margin miss, declining Q4 margin outlook) create conflicting signals. Monitor next quarter's gross margin trajectory and any further insider activity for directional clarity.
Price Chart
How similar events traded
Executive Summary
Magnachip CEO Lee Chae purchased $155K in open-market shares on Nov 6, while Director Amoruso sold $841K on the same day, creating a mixed insider cluster. The trades follow a weak Q3 earnings report with a gross margin miss and a downbeat Q4 margin outlook, suggesting divergent views among insiders.
Key Financial Metrics
Key Facts
- CEO Lee Chae bought $155K in open-market shares on Nov 6 (no 10b5-1 plan)
- Director Amoruso sold $841K in open-market shares on Nov 6 (no 10b5-1 plan)
- Total insider open-market activity: $155K buys vs $841K sells (net selling of $686K)
- Director Amoruso also purchased $1.37M in the same window, making his activity mixed
- Q3 2026 revenue was $44.0M, down 4.3% YoY; gross margin of 14.0% missed 17-19% guidance
- Q4 2026 revenue guidance midpoint of $43M implies +6% YoY, but gross margin guided to 10-12%
- Market cap is $95M; net selling of $686K represents 0.72% of market cap
Financial Impact
Net insider selling of $686K (0.72% of market cap) following a weak earnings report with gross margin miss and declining Q4 margin guidance
Risk Factors
- Director Amoruso's $841K sale outweighs CEO's $155K purchase in dollar terms
- Q4 gross margin guidance of 10-12% signals continued operational pressure
- Q3 gross margin of 14.0% missed guidance range of 17-19%
- GAAP loss per share widened to -$0.36 from -$0.29 a year ago
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 SEC document filed with EDGAR.
| Document | Accession Number |
|---|---|
| CLUSTER Data (Synthetic) | cluster-MX-1794360628663 |
Track record
11 reports on MX
6 of 6 bullish or bearish reports moved the stock their way by T+5. Best: +51.35% at T+60 after the Jun 17, 2026 report. 6 of 7 went positive at some point.
Filters
- Nov 10, 20261d ago Insider Cluster Neutral 4/10 Viewing Entry $2.65 Now $2.53 −4.53% settles Nov 18
- Nov 4, 20267d ago 8-K Bearish 5/10 Entry $2.05 Now $2.53 −23.41% settles Nov 12
- Oct 14, 202628d ago EFFECT Bearish 5/10 Entry $2.67 to $2.59 Now $2.53 +5.24% ▲ +3.00% +3.45% vs SPY
- Oct 5, 20265w ago S-3 Neutral 4/10 Entry $3.43 to $2.84 Now $2.53 −26.24% ▼ −17.20% −17.06% vs SPY
- Sep 21, 20267w ago 8-K Bullish 5/10 Entry $3.20 to $3.79 Now $2.53 −20.94% ▲ +18.44% +19.46% vs SPY
- Jun 30, 202619w ago 8-K Neutral 2/10 Entry $4.73 to $4.13 Now $2.53 −46.51% ▼ −12.69% −13.29% vs SPY
- Jun 17, 202621w ago 8-K Bearish 5/10 Entry $5.92 to $4.91 Now $2.53 +57.26% ▲ +17.06% +15.39% vs SPY
- Jun 17, 202621w ago 424B5 Bearish 5/10 Entry $5.92 to $4.91 Now $2.53 +57.26% ▲ +17.06% +15.39% vs SPY
- Jun 17, 202621w ago 8-K Neutral 3/10 Entry $5.28 to $4.86 Now $2.53 −52.08% ▼ −7.95% −6.91% vs SPY
- Jun 17, 202621w ago EFFECT Bearish 5/10 Entry $5.28 to $4.86 Now $2.53 +52.08% ▲ +7.95% +6.91% vs SPY
US Market Status
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