Vicor Corp (VICR) Insider Stock Sale Analysis Report

Based on the latest market data and analysis, I provide you with a comprehensive interpretation of the large-scale stock sale by Vicor Corp’s Chairman and CEO Patrizio Vinciarelli.

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According to SEC Form 4 disclosure documents, CEO Patrizio Vinciarelli conducted multiple stock sales in December 2025 [1]:

Date	Number of Shares Sold	Average Price	Transaction Value
Dec 19	20,000 shares	$103.02	$2,060,400
Dec 22	20,000 shares	$105.28	$2,105,600
Dec 24	12,400 shares	$108.87	$1,349,988
Dec 26	20,000 shares	$110.12	$2,202,400
Total	72,400 shares	-	$7,718,388

:<br>

• After the sale, Vinciarelli still holds approximately
  9.736 million shares
  , worth about
  $1.12 billion
  .<br>
• This sale accounts for only
  0.74%
  of his holdings.<br>
• All sales are
  planned sales
  executed through the 10b5-1 trading plan [2].

---

: The chart above shows VICR’s valuation metrics, 2025 stock price performance, comparison between current price and analysts’ target price, and a radar chart of financial health.

Time Period	Change
1 Month	+28.52%
3 Months	+130.95%
6 Months	+153.15%
Year-to-Date (YTD)	+138.14%
1 Year	+133.87%

: $114.90 | : $38.92 - $114.90 (at all-time high)

Metric	VICR Value	Industry Average	Evaluation
P/E Ratio	62.43x	~25x	Significantly above industry
P/B Ratio	8.15x	-	High
P/S Ratio	11.71x	-	High

• Median Target Price
  : $90.00
• Potential Downside
  : -21.6%
• Rating Distribution
  : 66.7% Buy, 33.3% Hold
• Latest Rating
  : Needham upgraded from Hold to Buy on October 22

---

###3. Technical Analysis Signals [0]

Based on technical analysis as of December 30, 2025:

Indicator	Status	Signal
Trend	Uptrend (to confirm)	Breakout day
MACD	-	Bullish
KDJ	K:93.2, D:86.5	Overbought Warning
RSI	-	Overbought Risk
Beta	1.95	High Volatility

:<br>

• Support: $105.95<br>
• Resistance: $114.76<br>
• Next Target: $119.70

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###4. Financial Health Status [0]

• ROE (Return on Equity)
  :13.78%
• Net Profit Margin
  :18.63%
• Operating Margin
  :17.06%

• Current Ratio
  :7.55 (Very Healthy)
• Quick Ratio
  :6.25
• Debt Risk
  : Low Risk
• Financial Stance
  : Conservative Accounting Policies

• Advanced Products Division
  :55.0% of Revenue ($197.33M)
• Brick Products Division
  :45.0% of Revenue ($161.73M)
• Geographic Distribution
  : US 51.8%, Asia-Pacific36.2%, Europe11.6%

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###5. In-depth Interpretation of Insider Sale

####1.

:<br>

• Vinciarelli still holds over $1.1 billion in VICR stock, selling less than 1% of his holdings.<br>
• For a CEO with highly concentrated holdings, moderate diversification is a rational financial plan.<br>
• Such sales are usually executed through pre-set10b5-1 plans, indicating planned decisions rather than those based on insider information.

:<br>

• The stock price has risen over138% cumulatively in2025, potentially facing high capital gains taxes.<br>
• Selling before the end of the year may be to manage tax liabilities for the 2025 tax year.

:<br>

• P/E ratio of 62.43x is significantly higher than the industry average.<br>
• Current price is 21.6% higher than analysts’ target price.<br>
• Technical indicators show overbought status (KDJ and RSI both issue warnings).

####2.

:<br>

• Financial analysis shows the company’s financial condition is healthy with low debt risk [0].<br>
• Q3 2025 financial report shows strong year-over-year revenue growth (from $96.05M to $110.42M) [0].<br>
• Analysts just upgraded the rating to Buy on October22 [0].<br>

:<br>

• This sale accounts for only0.74% of the CEO’s holdings.<br>
• It is a small-scale, gradual sale rather than a liquidation-style dump.

---

###6. Implications for Investors

1. Overvaluation Risk
   :<br>
   • P/E ratio of62.43x is far above industry average; if growth is less than expected, valuation correction pressure will be huge.<br>
   • Technical indicators show overbought status; short-term profit-taking pressure may arise.

2. Negative Signal from Insider Selling
   :<br>
   • Even a small-scale sale at an all-time high reflects management’s view that current valuation is sufficient or high.

3. Volatility Risk
   :<br>
   • Beta of 1.95 means stock price volatility is almost twice that of the market.<br>
   • High-valued stocks are more sensitive to negative news.

1. Strong Fundamentals
   :<br>
   • Net profit margin of18.63%, ROE of13.78%: strong profitability.<br>
   • Current ratio of7.55: very sound financial condition.<br>
   • Technological leadership in high-power power converter field.

2. Growth Potential
   :<br>
   • Products applied in high-growth fields like high-performance computing, aerospace, defense.<br>
   • AI and data center demand growth may bring long-term benefits.

3. Institutional Recognition
   :<br>
   • 66.7% of analysts give Buy rating.<br>
   • Institutions like Needham upgraded ratings recently.

---

###7. Investment Recommendations

Based on the above analysis, insider stock sales

, but they are indeed a warning sign worth noting:

: Be cautious or take partial profits.<br>

• Technical indicators show overbought status; short-term correction risk is high.<br>
• Overvaluation: lack of safety margin.<br>
• Support level at $105.95; breaking below may lead to further decline.

: Hold but reduce positions, wait for a pullback opportunity.<br>

• Company fundamentals are healthy; long-term growth logic remains unchanged.<br>
• Wait for stock price to pull back to reasonable valuation range (P/E 40-45x) before considering adding positions.<br>
• Pay attention to Q1 2026 financial report (expected to be released on February19) to verify growth sustainability.

: Establish a short position with stop-loss.<br>

• Current price has 21.6% downside space from analysts’ target price.<br>
• Consider establishing short positions in the $115-118 range with stop-loss at $120.<br>
• Target price: $90 (analysts’ target price).

---

###8. Risk Warnings

1. Valuation Pullback Risk
   : If future quarterly earnings are less than expected, high valuation cannot be sustained.
2. Industry Competition Risk
   : Increased competition in power converter market may compress profit margins.
3. Macroeconomic Risk
   : Macroeconomic downturn may affect capital expenditure and downstream demand.
4. Liquidity Risk
   : Average daily trading volume of338,000 shares; large-scale transactions may cause slippage.

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###9. Key Monitoring Indicators

Investors are advised to focus on the following indicators:

Indicator	Importance	Explanation
Q1 2026 Financial Report	★★★	Verify growth sustainability; expected release date: February19
Stock Price Support $105.95	★★★	Technical support; breaking below may reverse trend
Further Insider Transactions	★★	Watch for additional sales by executives or directors
Industry Competition Dynamics	★★	Monitor competitors’ moves and market share changes

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[0] Jinling API Data - Real-time stock quotes, company profiles, financial analysis, technical analysis, historical price data

[1] MarketBeat - “Vicor (NASDAQ:VICR) CEO Patrizio Vinciarelli Sells 20,000 Shares” (December29,2025)
https://www.marketbeat.com/instant-alerts/vicor-nasdaqvicr-ceo-patrizio-vinciarelli-sells-20000-shares-2025-12-29/

[2] InsiderScreener - US Stock Insider Transaction Database, Vicor Corp (VICR) Insider Transaction Records
https://www.insiderscreener.com/en/explore/us

[3] Investing.com - “Vicor (VICR) chairman Vinciarelli sells $2.06 million in stock” (December22,2025)
https://www.investing.com/news/insider-trading-news/vicor-vicr-chairman-vinciarelli-sells-206-million-in-stock-93CH-4420002