Form 4: AppLovin Corp's CTO, Vasily Shikin, Sells Shares Under 10b5-1 Trading Plan
SEC Form 4
Vasily Shikin, Chief Technology Officer of AppLovin Corp, executed multiple sales of Class A Common Stock between September 6 and September 9, 2024, under a pre-arranged Rule 10b5-1 trading plan.
Summary
- Vasily Shikin, the Chief Technology Officer of AppLovin Corp, reported the sale of Class A Common Stock.
- The transactions occurred between September 6, 2024, and September 9, 2024.
- The sales were executed under a Rule 10b5-1 trading plan adopted on June 7, 2024.
- On September 6, 2024, Shikin sold 48,740 shares at an average price of $83.16, 45,798 shares at an average price of $84.08, 53,970 shares at an average price of $84.70, 3,760 shares at an average price of $87.22 and 2,232 shares at an average price of $88.06.
- On September 9, 2024, Shikin sold 5,500 shares at an average price of $86.04.
- Following these transactions, Shikin directly owns 4,536,447 shares of Class A Common Stock.
- Shikin also indirectly owns shares through various trusts for the benefit of family members: ES48 Holdings Trust (105,889 shares), IK50 Holdings Trust (105,889 shares), IS37 Holdings Trust (105,889 shares), and The Shikin 2020 Irrevocable GST Trust (425,450 shares).
Sentiment
Score: 5
Explanation: The sentiment is neutral as the document primarily reports insider trading activity under a pre-arranged plan. It doesn't inherently indicate positive or negative performance for the company.
Positives
- The sales were executed under a pre-arranged 10b5-1 trading plan, which is a legal and transparent way for insiders to sell shares.
Risks
- While the sales are under a 10b5-1 plan, large insider sales can sometimes be perceived negatively by the market.
Industry Context
Insider trading activity is always closely watched in the tech industry, particularly for companies like AppLovin in the competitive mobile gaming and advertising space.
Comparison to Industry Standards
- Monitoring insider sales is a common practice when evaluating companies like AppLovin, and comparing the volume and frequency of these sales to those of executives at similar companies such as Unity Software or ironSource can provide valuable context.
- The use of 10b5-1 trading plans is a standard practice among public company executives to avoid accusations of insider trading, and the details of these plans are often scrutinized by investors.
Stakeholder Impact
- Shareholders may be interested in insider trading activity as an indicator of management's confidence in the company.
- Employees may be interested in the financial activities of company leadership.
Key Dates
| Date | Description |
|---|---|
| 06/07/2024 | Date the Reporting Person adopted a Rule 10b5-1 trading plan |
| 09/06/2024 | Date of first reported transaction |
| 09/09/2024 | Date of last reported transaction |
| 09/10/2024 | Date of Form 4 filing |
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