Form 4: Alector Executive Sells Shares for Tax Obligations

Alector's Chief Business Officer and Interim CFO, Neil Lindsay Berkley, sold 37,261 shares of common stock to cover tax obligations related to RSU vesting.

Summary

• Neil Lindsay Berkley, Chief Business Officer and Interim CFO of Alector, Inc. (ALEC), reported a sale of common stock.
• The transaction occurred on December 3, 2025.
• A total of 37,261 shares of common stock were disposed of.
• The shares were sold at a weighted average price of $1.1196 per share, with prices ranging from $1.095 to $1.14.
• The sale was conducted to satisfy tax obligations associated with the vesting of restricted stock units (RSUs).
• Following this transaction, Neil Lindsay Berkley beneficially owns 374,309 shares of Alector, Inc. common stock directly.
• The transaction was made pursuant to a Rule 10b5-1(c) plan.

Sentiment

Score: 6

Explanation: The sale of shares by an executive was explicitly for tax obligations related to RSU vesting and was conducted under a Rule 10b5-1(c) plan, indicating a pre-scheduled, non-discretionary transaction. This is a common and expected event for executives receiving equity compensation.

Positives

• The transaction was executed under a Rule 10b5-1(c) plan, indicating a pre-arranged sale not based on new material non-public information.
• The sale was explicitly for tax obligations related to RSU vesting, which is a common and expected event for executives.

Negatives

• An insider sale, even for tax purposes, reduces the executive's direct equity stake in the company.

Future Outlook

No forward-looking statements or guidance are provided in this Form 4 filing.

Management Comments

• The reported shares were sold to satisfy the reporting person's tax obligations in connection with the vesting of restricted stock units, or RSUs.

Industry Context

This Form 4 filing details a routine insider transaction for tax purposes, which is common across all industries, particularly for executives receiving equity compensation like RSUs. It does not provide specific industry-related insights.

Corporate Governance

Stakeholder Impact

• Shareholders: Minimal impact, as it's a routine, tax-related sale by an executive, not indicative of a change in company fundamentals or management's confidence.

Key Dates

Recommendation

This Form 4 filing details a routine, pre-planned sale of shares by an executive to cover tax obligations arising from RSU vesting. Such transactions are common and generally not indicative of a change in the company's fundamental outlook or the executive's confidence. Therefore, it does not provide new information that would warrant a change in investment recommendation, suggesting a 'hold' position is appropriate based solely on this filing.

Keywords

Alector, ALEC, Form 4, insider transaction, stock sale, RSU vesting, tax obligations, executive compensation, Neil Lindsay Berkley, corporate governance