Form 4: Atlassian CEO Michael Cannon-Brookes Sells Shares Under 10b5-1 Trading Plan

Atlassian CEO Michael Cannon-Brookes sold a total of 7,948 Class A Common Stock shares on November 29, 2024, through a pre-arranged 10b5-1 trading plan.

Summary

• Michael Cannon-Brookes, CEO and Co-Founder of Atlassian, sold 7,948 shares of Class A Common Stock on November 29, 2024.
• The sales were executed under a Rule 10b5-1 trading plan adopted on February 8, 2024.
• The transactions were conducted in multiple trades throughout the day at varying prices.
• The weighted average sale prices ranged from $263.0613 to $265.644 per share.
• The shares were sold indirectly through a trust, CBC Co Pty Limited as trustee for the Cannon-Brookes Head Trust.
• Following these transactions, Mr. Cannon-Brookes still indirectly holds a significant number of Atlassian shares through the trust.

Sentiment

Score: 5

Explanation: The document reflects a routine transaction under a pre-arranged trading plan, with no indication of positive or negative sentiment.

Risks

• Sales by insiders, even under pre-arranged plans, can sometimes be perceived negatively by the market.

Industry Context

Insider sales are a common occurrence, especially for executives of publicly traded companies. The use of 10b5-1 plans is a standard practice to avoid accusations of trading on non-public information.

Comparison to Industry Standards

• The use of a 10b5-1 trading plan is a common practice among executives at publicly traded companies, including those in the technology sector like Atlassian.
• Companies such as Microsoft, Google, and Amazon also have executives who utilize similar plans for stock transactions.
• The reported prices are within the typical trading range for Atlassian stock, indicating no unusual market activity.

Stakeholder Impact

• The stock sale may have a minor impact on shareholder sentiment, but it is unlikely to cause significant concern given the pre-arranged nature of the transactions.

Key Dates

Keywords

Atlassian, Michael Cannon-Brookes, insider trading, stock sale, Rule 10b5-1, Class A Common Stock, SEC Form 4