Form 4: Altair Engineering CEO James Scapa Reports Stock Sales and Conversions

James Scapa, CEO of Altair Engineering, reports the sale of Class A Common Stock and conversion of Class B Common Stock, while maintaining significant beneficial ownership.

Summary

• On September 30, 2024, James Scapa, the CEO of Altair Engineering Inc., reported transactions involving Class A and Class B Common Stock.
• Scapa sold 5,572 shares of Class A Common Stock at a weighted average price of $95.0289 and another 928 shares at $95.547.
• He also reported the acquisition of 6,500 shares of Class A Common Stock through conversions.
• These transactions were conducted under a pre-arranged Rule 10b5-1 trading plan established on March 11, 2024.
• Following these transactions, Scapa directly owns 134,045 shares of Class A Common Stock, including 88,194 unvested restricted stock units.
• He also indirectly owns shares through the James R. Scapa Declaration of Trust and JRS Investments LLC.
• Scapa disclaims beneficial ownership of shares held by the trust and LLC, except to the extent of his pecuniary interest.
• His wife also indirectly owns 1,193 shares of Class A Common Stock, including 20 unvested restricted stock units.

Sentiment

Score: 5

Explanation: The sentiment is neutral. It's a routine disclosure of stock transactions by the CEO. The sales are conducted under a pre-arranged trading plan, which mitigates concerns about insider information.

Industry Context

Form 4 filings are standard disclosures required by the SEC when company insiders, like the CEO, trade their company's stock. These filings are closely watched by investors for insights into management's perspective on the company's value and future prospects.

Comparison to Industry Standards

• Monitoring insider trading activity is a common practice in financial analysis.
• Comparing Scapa's trading activity to that of executives at similar technology companies like Autodesk (ADSK) or Ansys (ANSS) can provide context.
• For example, if other CEOs in the sector are also selling shares, it could indicate broader industry trends or concerns.
• Conversely, if Scapa's activity is unique, it might reflect specific factors related to Altair Engineering.

Stakeholder Impact

• Shareholders may interpret the stock sales as a lack of confidence in the company's future prospects, although the pre-arranged trading plan mitigates this concern.
• The transactions have no immediate impact on employees, customers, suppliers, or creditors.

Key Dates