6 Insiders are Trading Shares of This Oil and Gas Company

Following are recent insider trades by key personnel of Chevron (NYSE:CVX):

  • John G. Stumpf, who is a Director, bought 10,000 shares at a market price of $96.43, for a cost of $964,336.  He now holds 10,000 shares of Chevron stock.
  • John E Bethancourt, who is an Executive Vice President, exercised 28,035 options at a price of $59.12 per option, and subsequently sold 28,035 shares at a market price of $97.50, for net proceeds of $1,076,033.  He presently holds 65,102 shares of Chevron stock.
  • Michael K. Wirth, who is an Executive Vice President, exercised 16,000 options at a price of $43.13 per option, and subsequently sold 16,000 shares at a market price of $97.88 for net proceeds of $876,027.  He presently holds 0 shares of Chevron stock.
  • George L. Kirkland, who is Vice Chairman and an Executive Vice President, exercised 85,000 options at a price of $47.06 and subsequently sold 85,000 shares at a market price of $97, for net proceeds of $4,245,470.  He presently holds 18,694 shares of Chevron stock.
  • Matthew J. Foehr, who is a Vice President & Comptroller, exercised 6,667 options at $56.67 per option, and subsequently sold 6,667 shares at a market price of $96.52, for net proceeds of 265,081.  He presently holds 488 shares of Chevron stock.
  • Robert J. Eaton, who is a Director, exercised 7,048 options at $36.70 per option.  He presently has 40,971 shares of Chevron stock.

Shares of Chevron (NYSE:CVX) have risen since these sales were recorded in February, to a recent high of $104.57, which is just below the 52-week high of $104.99.  Chevron (NYSE:CVX) has a market capitalization of $208.88 billion and 2.01 billion shares outstanding.  Accordingly, the positions that these insiders hold in Chevron (NYSE:CVX) is minimal, and the company’s fortunes, for better or worse, don’t really affect these insiders.

For some context, following is a table of Chevron’s major institutional investors.  Their holdings dwarf those of the company’s insiders.

Institution Name Shares held Shares changed (from previous quarterly report) % Change (from previous quarterly report) $ Change (from previous quarterly report) % of Chevron held % of institution’s portfolio that the Chevron stake represents Rpt Date
State Street Global Advisors (NYSE:STT) 102,700,864 3,820,448 3.9 1,357,196,160 5.1 1.7 12/31/10
Vanguard Group, Inc. 77,342,232 217,796 0.3 806,543,104 3.8 1.2 12/31/10
BlackRock Institutional Trust Company, N.A. (NYSE:BLK) 69,413,504 820,184 1.2 774,493,696 3.4 1.1 12/31/10
Capital World Investors 63,931,764 1,700,000 2.7 789,888,960 3.2 2 12/31/10
Wellington Management Company, LLP 40,534,512 -496,678 -1.2 373,196,256 2 1.4 12/31/10
Fidelity Management & Research 29,607,136 -15,914,666 -35 -987,890,880 1.5 0.5 12/31/10
T. Rowe Price Associates, Inc. 26,416,100 1,161,865 4.6 363,613,376 1.3 0.8 12/31/10
Capital Research Global Investors 18,775,112 -190,000 -1 176,106,624 0.9 0.7 12/31/10
JP Morgan Asset Management (NYSE:JPM) 18,698,076 2,949,185 18.7 429,751,808 0.9 1.3 12/31/10
Bank of America Merrill Lynch (NYSE:BAC) 16,634,510 251,721 1.5 190,073,984 0.8 1.2 12/31/10
State Farm Insurance Companies 16,281,400 0 0 166,070,272 0.8 3.2 12/31/10
MFS Investment Management 15,676,482 -447,189 -2.8 123,655,448 0.8 1.6 12/31/10
Columbia Management Investment Advisers, LLC 15,392,745 -174,342 -1.1 142,875,584 0.8 1.1 12/31/10
Dodge & Cox 15,382,345 -349,312 -2.2 128,588,184 0.8 1.7 12/31/10
Northern Trust Investments, N.A. (NASDAQ:NTRS) 14,727,406 -1,522,682 -9.4 26,806,166 0.7 1.3 12/31/10
American Funds Washington Mutual Investors Fund 31,881,800 0 0 325,194,368 1.6 5.8 12/31/10
Vanguard Total Stock Market Index Fund 21,209,400 -455,638 -2.1 179,406,416 1.1 1.3 12/31/10
Vanguard 500 Index Fund 18,019,340 -264,797 -1.4 162,335,456 0.9 1.6 12/31/10
SPDR S&P 500 ETF (NYSE:SPY) 15,816,510 1,176,015 8 333,067,808 0.8 1.6 12/31/10
Vanguard Institutional Index Fund 15,484,467 717,661 4.9 216,107,984 0.8 1.6 12/31/10
American Funds American Balanced Fund 14,672,000 1,900,000 14.9 303,649,408 0.7 4.1 12/31/10
Statens Pensjonsfond Utland 12,181,658 3,259,916 36.5 277,924,608 0.6 0.3 12/31/09
Vanguard Wellington Fund, Inc. 11,825,200 -487,100 -4 81,137,584 0.6 3 12/31/10
American Funds Income Fund of America 11,625,000 0 0 153,333,744 0.6 2.7 9/30/10
Energy Select Sector SPDR Fund 11,622,897 1,018,371 9.6 222,412,672 0.6 14.3 9/30/10
CREF Stock Account 8,489,096 -752,095 -8.1 60,934,008 0.4 0.7 9/30/10
Dodge & Cox Stock Fund 8,401,980 -178,700 -2.1 71,216,560 0.4 1.8 12/31/10
Fidelity Spartan 500 Index Fund 7,156,472 -36,051 -0.5 120,205,968 0.4 1.6 12/31/10
American Funds Investment Company of America 6,480,000 0 0 66,096,000 0.3 1.1 12/31/10
Vanguard Energy Fund 6,084,835 163,800 2.8 75,341,304 0.3 4.6 12/31/10

The net change in institutional ownership over the last quarter of 2010 is -2,112,288 shares. However, the net change in dollar value terms is $7,509,332,630, indicating an upward trend in Chevron (NYSE:CVX) stock. Despite the insiders’ lack of financial commitment to their company, institutional investors (and individual investors) who have held onto Chevron’s (NYSE:CVX) shares have benefited from its stock appreciation. No doubt many prognosticators are now trying to figure out how the unrest in Libya and the spectre of higher oil (NYSE:USO) prices will affect Chevron’s (NYSE:CVX) stock price in the next quarter or two.