LAW CS Disco, Inc.

NEUTRAL Impact: 3/10 Insider Cluster (4 insiders)
Horizon days Filed May 19, 2026 Processed 21d 10h ago
Insider cluster: 4 insiders, $0.1M total
Latest settled — T+5d
LAW ▼ -3.39% at T+5d
NEUTRAL call ✗ call lost -3.39% · α vs SPY -4.62% · entry $3.84 → $3.71
Next anchor: T+20d in 7d
Last close $3.69 (close Jun 8) · -3.91% from $3.84 entry
Entry anchored
May 19, 03:59 PM ET
via Databento tick
T+1d
-3.13%
call -3.13% · α -3.32%
$3.72
settled 21d ago
T+5d
-3.39%
call -3.39% · α -4.62%
$3.71
settled 14d ago
T+20d
call — · α —
in 7d
T+60d
call — · α —
in 2mo

Price Chart

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Executive Summary

Four C-suite insiders at CS Disco sold shares on May 18 at $3.61, raising $114K total (0.05% of $233M market cap), while the CEO's tax-withholding transaction on May 16 had $0 economic value. The sales occurred just 12 days after CS Disco reported a Q1 revenue beat and raised 2026 guidance, suggesting these are likely routine post-blackout-window liquidity trades rather than a bearish signal.

Key Financial Metrics

Direction
selling
Total Value
$114.0K
Insiders
4

Actionable Insight

The timing (12 days post-earnings, all same day, same price) indicates coordinated post-blackout-window sales, not informed bearish conviction. The dollar amount is immaterial at 0.05% of market cap. Monitor Q2 2026 for sustained revenue growth trajectory, as the raised FY26 guidance ($169.25M-$178.75M) is the more impactful signal than this nominal insider selling.

Key Facts

  • 4 open-market sales by EVP-level insiders on May 18, all at $3.61/share, totaling ~$114K
  • CEO Eric Friedrichsen's May 16 tax-withholding surrender of 44,492 shares ($170K) was a $0 economic transaction
  • Total cluster value ($114K) is only 0.05% of LAW's $233M market cap
  • Sales occurred 12 days after CS Disco's Q1 2026 earnings beat (revenue $41.9M, +14% YoY) and raised full-year guidance
  • Historical performance on LAW reports shows 100% win rate at T+20 (n=5), and broker consensus is 71% bullish (5 of 7 analysts Buy/Strong Buy)

Financial Impact

Open-market sales total $114K, representing 0.05% of market cap — trivial relative to company size

market capinsider ownership

Risk Factors

  • If all four EVPs continue selling at material volumes in subsequent windows, it could signal waning confidence in the growth story
  • GAAP EPS miss (-$0.15 vs consensus -$0.09) may weigh on valuation if profitability improvement stalls
  • Revenue guidance midpoint implies ~12% YoY growth for FY2026 vs 14% in Q1 — deceleration could pressure the stock

Market Snapshot

Exchange
NYSE
Sector
Services-Prepackaged Software
Analyst Consensus
71% bullish (7 analysts)

Documents Analyzed

This report is based on 1 SEC document filed with EDGAR.

DocumentAccession Number
CLUSTER Data (Synthetic)cluster-LAW-1779221477548
7 reports for LAW
Performance horizon
100% Hit rate 4 of 4 directional calls best @ T+5▲ +51.81%Feb 25, 2026
Filters
Rows
Reports for LAW — sortable, filterable
Type Now
May 19, 2026
21d ago
Insider Cluster
NEUTRAL ★ 3/10
$3.84 $3.71▼ −3.39%▼ −4.62%$3.69 (−3.91%)
May 6, 2026
4w ago
8-K
BULLISH ★ 7/10
$3.72 $3.79▲ +1.88%▲ +0.75%$3.69 (−0.81%)
Apr 23, 2026
6w ago
8-K
NEUTRAL ★ 3/10
$3.94 $4.50▲ +14.21%▲ +12.74%$3.69 (−6.35%)
Feb 27, 2026
14w ago
Insider Cluster
BULLISH ★ 7/10
$3.25 $4.79▲ +47.38%▲ +49.37%$3.69 (+13.54%)
Feb 27, 2026
14w ago
Insider Cluster
BULLISH ★ 8/10
$3.25 $4.79▲ +47.38%▲ +49.37%$3.69 (+13.54%)
Feb 27, 2026
14w ago
Insider Cluster
NEUTRAL ★ 4/10
$3.25 $4.79▲ +47.38%▲ +49.37%$3.69 (+13.54%)
Feb 25, 2026
14w ago
8-K
BULLISH ★ 8/10
$2.76 $4.19▲ +51.81%▲ +52.91%$3.69 (+33.70%)
Showing 7 of 7

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