Gary Valenzuela sold 150,000 shares, which carried a value of roughly $26 million adjusted for a 2-for-1 stock split earlier this month, according to filings with the Securities and Exchange Commission.
That sale leaves Valenzuela with 1.4 million shares and options, according to Diane Hunt, a Yahoo spokeswoman.
His sale, which took place a week to two weeks ago, comes at a time when Yahoo's shares have slid from 207 in mid-January. The stock closed yesterday at 140.75.
"It's not prudent to link his sale with the stock's decline," said Hunt, noting that the Nasdaq and Internet stocks in particular have been hit in recent weeks.
Meanwhile, Jeff Mallett, Yahoo's chief operating officer, also filed to sell 150,000 shares, with a value of roughly $26 million on a post-split basis, according to SEC filings.
Valenzuela has sold some shares as part of his estate and tax planning and part of his portfolio diversification, she said.
She added that most of the executives' compensation comes in the form of options, and it has been Valenzuela's normal pattern to sell during the designated times that executives are allowed to sell stock.