Serve Robotics Inc. (SERV) is experiencing a decline in its stock price today, primarily due to recent insider selling activities by CEO Ali Kashani. On January 3rd, Kashani sold 7,500 shares at an average price of $17.23, and on January 6th, he sold an additional 37,500 shares at an average price of $21.16. These transactions have raised concerns among investors about insider confidence, contributing to the downward pressure on the stock. Additionally, the company announced an $80 million registered direct offering on January 7th, which involves the sale of 4,210,525 shares, resulting in approximately 8.5% dilution to existing shareholders.
The stock is currently trading at $17.20, down 7.58% from the previous close of $18.61. Despite being just 30 minutes into the trading day, the volume has already reached 11,190,070 shares, which is 130.79% of its average daily volume of 8,555,935, indicating significant trading activity this morning.