Form 4: Amplitude Director Exercises Options and Sells Shares Under Pre-Arranged Plan

Amplitude, Inc. Director Erica Schultz exercised stock options and subsequently sold a portion of the acquired Class A Common Stock under a Rule 10b5-1 trading plan.

Summary

• Erica Schultz, a Director of Amplitude, Inc., engaged in transactions involving Class A Common Stock.
• On June 11, 2025, Schultz exercised options to acquire 7,500 shares of Class A Common Stock at an exercise price of $4.19 per share. Following this, her direct beneficial ownership was 100,000 shares.
• On July 15, 2025, Schultz again exercised options to acquire 7,500 shares of Class A Common Stock at an exercise price of $4.19 per share, increasing her direct beneficial ownership to 114,906 shares.
• Also on July 15, 2025, Schultz sold 7,500 shares of Class A Common Stock at a weighted average sale price of $12.5607 per share. The sales were executed in multiple trades ranging from $12.41 to $12.81.
• These sales were conducted pursuant to a Rule 10b5-1 trading plan adopted by Schultz on March 12, 2025.
• After these transactions, Schultz's direct beneficial ownership of Class A Common Stock is 107,406 shares.
• The stock options have an exercise price of $4.19 and vest 1/48th monthly from December 10, 2020, fully vesting on the fourth anniversary of that date.

Sentiment

Score: 6

Explanation: The transactions involve a director exercising stock options and selling a portion of the acquired shares under a pre-arranged 10b5-1 trading plan. This is a common and expected activity for insiders to manage their equity holdings and realize value, and the pre-planned nature mitigates any negative sentiment associated with insider sales. The significant difference between the exercise price and sale price is a positive for the insider.

Positives

• The exercise of stock options indicates a director's strategic move to realize value from vested options.
• The sale of shares at a price significantly higher than the exercise price ($12.5607 vs. $4.19) indicates a profitable transaction for the director.
• The transactions were conducted under a Rule 10b5-1 trading plan, which suggests pre-planned, non-discretionary sales, reducing concerns about opportunistic insider selling.

Negatives

• The sale of shares by a director, even under a 10b5-1 plan, can sometimes be perceived as a lack of confidence in the company's near-term stock price appreciation, although this is mitigated by the pre-planned nature.

Related Party Transactions

• The transactions involve a director of Amplitude, Inc., Erica Schultz, exercising stock options and selling shares. While directors are considered related parties, these are standard insider equity transactions reported on Form 4, not unusual related party dealings that would typically raise specific concerns beyond routine disclosure.

Stakeholder Impact

• Shareholders: The sale of shares by a director could be perceived by some shareholders as a slight negative signal, though the 10b5-1 plan mitigates this. The exercise of options and subsequent sale allows the director to realize value, which is a normal part of executive compensation.

Key Dates

Recommendation

Keywords

Amplitude, AMPL, SEC Form 4, insider trading, stock options, share sale, Rule 10b5-1, Erica Schultz, director transactions, equity securities