Insider Trading July 1, 2026 06:36 PM

Clover Health CEO Andrew Toy Executes $1.67 Million Stock Sale to Cover Tax Obligations

Executive transaction follows Q1 earnings report and Medicare rating upgrade, with stock trading near 52-week high despite valuation concerns.

By Leila Farooq
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Andrew Toy, Chief Executive Officer of Clover Health Investments, Corp., executed a mandatory stock sale on July 1, 2026, to satisfy tax withholding requirements tied to restricted stock unit vesting. The transaction occurred amid recent financial results that showed revenue growth but earnings per share below analyst expectations, alongside a significant regulatory milestone with an upgraded Medicare star rating.

Clover Health CEO Andrew Toy Executes $1.67 Million Stock Sale to Cover Tax Obligations
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Key Points

  • Andrew Toy sold 313,476 shares of Clover Health stock on July 1, 2026, for $1,667,692 to cover tax withholding obligations associated with restricted stock units granted in 2023.
  • Clover Health reported Q1 2026 revenue of $749.2 million, beating analyst estimates of $714.89 million, but reported EPS of $0.05, missing the expected $0.07.
  • The company's Medicare star rating was upgraded to 4.5 stars from 3.5 stars following a court decision in its favor against the U.S. Department of Health and Human Services.

Andrew Toy, the Chief Executive Officer of Clover Health Investments, Corp., executed a mandatory stock sale on July 1, 2026, to satisfy tax withholding requirements tied to restricted stock unit vesting. The transaction involved the disposal of 313,476 shares of Class A Common Stock, resulting in proceeds of $1,667,692. Each share was sold at a price of $5.32.

This sale was not a discretionary trade by Mr. Toy. It was mandated by the issuer’s equity incentive plans, which require tax withholding obligations to be funded by a "sell to cover" transaction. The restricted stock units originally granted to Mr. Toy were issued on January 1, 2023.

Following this transaction, Mr. Toy directly holds 9,609,825 shares of Clover Health’s Class A Common Stock. The stock has since climbed to $5.40, trading near its 52-week high of $5.59, following a remarkable 96% gain over the past year. According to InvestingPro analysis, the stock currently appears overvalued relative to its Fair Value estimate, placing it among companies on the Most Overvalued list.

In other recent news, Clover Health Investments Corp reported its Q1 2026 earnings, showcasing a mixed financial performance. The company achieved revenue of $749.2 million, exceeding analyst expectations of $714.89 million. However, Clover Health’s earnings per share (EPS) came in at $0.05, falling short of the anticipated $0.07.

Additionally, the company’s Medicare star rating was upgraded to 4.5 stars from the previous 3.5 stars. This upgrade resulted from a court decision in Clover’s favor against the U.S. Department of Health and Human Services. The Centers for Medicare & Medicaid Services informed Clover of this recalibration following the court’s summary judgment.

These developments reflect significant changes for Clover Health in both its financial results and regulatory standing.

Risks

  • The stock appears overvalued relative to its Fair Value estimate according to InvestingPro analysis, which may indicate potential downside risk for investors.
  • Clover Health's Q1 2026 EPS of $0.05 fell short of analyst expectations of $0.07, suggesting possible challenges in profitability despite revenue growth.
  • Regulatory changes in Medicare star ratings could impact the company's standing and financial performance in the healthcare sector.

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