Good morning and happy Sunday!

While the market pushed higher this past week—riding a wave of strong retail sales, a resilient labor market, and bullish AI sentiment—not everyone is buying the hype.

In fact, some big names are doing the opposite. Coinbase’s CEO dumped a mountain of stock, a California lawmaker walked away from a crown jewel of the AI boom, and a prominent fund trimmed its exposure to a rising building materials company—just as small caps began to shine. The timing is interesting: with the S&P 500 flirting with record highs and economic data surprising to the upside, these insiders may be signaling it’s time to get a little more cautious.

Here’s what moved behind the curtain this week.

P.S. This newsletter was drafted Friday. Want these trade alerts as they happen? Join Elite Insider here.

💻 Gil Cisneros Quietly Dumps ASML

On July 11, 2025, Representative Gil Cisneros (D-CA) disclosed a sale of ASML Holding NV $ASML ( ▼ 1.73% ), valued between $1,001 and $15,000. The transaction occurred shortly after an analyst downgrade on June 26 and amid growing concerns about overheated valuations in the semiconductor sector.

While small in dollar terms, the timing says a lot. ASML has been riding high as one of the major beneficiaries of the AI hardware boom, but it also sits at the center of a tightening geopolitical vise between the U.S., China, and the EU. For a lawmaker like Cisneros, who sits on the House Armed Services Committee, there may be broader macro or national security concerns at play.

ASML remains a foundational company in the global AI buildout, but this insider exit joins a growing chorus of voices signaling the run-up may be overdone in the near term. At the very least, it’s worth watching who else steps back next.

🚀 Brian Armstrong’s $65M Coinbase Sale

On July 14, 2025, Coinbase Global Inc. $COIN ( ▼ 2.26% )  CEO and Chairman Brian Armstrong sold 165,443 shares at $395.82 apiece, netting a jaw-dropping $65.5 million.

Let’s not sugarcoat it: this is a massive sell, and it comes at a moment when crypto markets are trying to hold onto their 2025 gains. Coinbase stock has rallied hard on rising bitcoin adoption and strong custody revenue, but Armstrong’s near-total liquidation will raise some eyebrows. Is this just smart profit-taking, or something more strategic?

Insider sales don’t always mean bad news, but when the CEO offloads nearly everything while the stock trades at local highs, it’s a signal that can’t be ignored. Whether Armstrong is repositioning for diversification or bracing for increased crypto regulation, investors should be paying attention.

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🧱 Coliseum Capital Trims GMS Stake

On July 14, 2025, Coliseum Capital Management disclosed the sale of 179,133 shares of GMS Inc. $GMS ( ▼ 0.24% ), at $110.05 each, totaling nearly $19.7 million. After the sale, the fund still holds about 3.6 million shares, but this marks a meaningful reduction.

GMS, a distributor of construction and building materials, has been riding the tailwind of strong demand in residential and infrastructure development. With small caps on a tear—thanks to upbeat economic data and falling jobless claims—the stock has benefited from a broader rotation into cyclical names.

So why the cutback? It may just be classic portfolio management—locking in gains after a big run. But it also comes at a time when profit margins are being squeezed by inflation in materials and labor. With the market pushing toward euphoric territory, Coliseum may be quietly signaling that it’s time to take some chips off the table.