Form 4: Arista Networks CEO Jayshree Ullal Sells Shares Under 10b5-1 Trading Plan
SEC Form 4
Jayshree Ullal, CEO of Arista Networks, sold shares of common stock on May 13, 2024, under a pre-arranged Rule 10b5-1 trading plan.
Summary
- On May 13, 2024, Jayshree Ullal, the President and CEO of Arista Networks, executed sales of Arista Networks common stock.
- The sales were conducted under a pre-arranged Rule 10b5-1 trading plan.
- A total of 4,000 shares were sold at a price of $312.07 each for the benefit of Child 1.
- An additional 4,000 shares were sold at a price of $312.07 each for the benefit of Child 2.
- 12,000 shares were sold at a price of $312.07 each by Trust.
- Following these transactions, Ullal continues to beneficially own 17,681 shares directly.
- Ullal also indirectly owns 1,620,800 shares through a trust for Child 1, 1,620,800 shares through a trust for Child 2, 6,432,492 shares by Trust, 10,000 shares by Trust for Nephew, and 10,000 shares by Trust for Niece.
- The Rule 10b5-1 trading plan was adopted on December 13, 2023.
- Ullal disclaims beneficial ownership of shares held in trusts for her children and other relatives, although she shares voting and investment control.
Sentiment
Score: 5
Explanation: The document is a standard SEC Form 4 filing, indicating routine transactions under a pre-arranged trading plan. It doesn't inherently convey positive or negative sentiment.
Industry Context
Sales by insiders are a common occurrence, especially when executed under pre-arranged trading plans like Rule 10b5-1, which allows insiders to sell shares at predetermined times to avoid accusations of trading on inside information. These plans are often set up to diversify personal holdings or for estate planning purposes.
Stakeholder Impact
- The stock sale may have a minor impact on shareholders, but the existence of a pre-arranged trading plan mitigates concerns about insider information being used for personal gain.
- The transactions do not directly impact employees, customers, suppliers, or creditors.
Key Dates
| Date | Description |
|---|---|
| 12/13/2023 | Date of adoption of Rule 10b5-1 trading plan. |
| 05/13/2024 | Date of stock sale transactions. |
| 05/15/2024 | Date of signature on the Form 4 filing. |
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