Form 4: Atlassian Co-Founder Sells Shares Under 10b5-1 Plan

Atlassian Corp co-founder and CEO Michael Cannon-Brookes reported the sale of 7,665 Class A Common Stock shares totaling approximately $1.24 million under a pre-arranged 10b5-1 trading plan.

Summary

• Michael Cannon-Brookes, Atlassian Corp's CEO, Co-Founder, Director, and 10% Owner, reported the sale of 7,665 shares of Class A Common Stock.
• The transactions occurred on December 23, 2025, and were executed under a Rule 10b5-1 trading plan adopted on February 20, 2025.
• The shares were sold in multiple trades at weighted-average prices ranging from $159.0399 to $162.8764 per share.
• The total value of the shares sold is approximately $1,236,028.01.
• Following these transactions, Michael Cannon-Brookes indirectly beneficially owns 38,325 shares of Class A Common Stock through CBC Co Pty Limited as trustee for the Cannon-Brookes Head Trust.

Sentiment

Score: 5

Explanation: The filing reports routine insider stock sales executed under a pre-arranged 10b5-1 trading plan, which typically indicates personal financial planning rather than a change in outlook on the company's prospects. This is generally considered neutral.

Positives

• The sales were conducted under a pre-arranged Rule 10b5-1 trading plan, indicating a structured and pre-scheduled approach to stock diversification rather than an immediate reaction to market conditions.

Negatives

• Insider selling, even when pre-planned, can sometimes be perceived by the market as a lack of confidence, though this is mitigated by the 10b5-1 plan.

Risks

• No specific risks are mentioned in this Form 4 filing beyond the general market perception of insider selling.

Future Outlook

This Form 4 filing does not contain any forward-looking statements or guidance regarding the company's future outlook.

Industry Context

This insider transaction report is a routine disclosure for publicly traded companies and does not provide specific insights into broader industry trends or competitive landscape. It reflects an individual executive's personal financial planning.

Comparison to Industry Standards

• The use of a Rule 10b5-1 trading plan for insider stock sales is a standard corporate governance practice across industries, including the technology sector, to mitigate concerns about insider trading based on material non-public information. Companies like Microsoft, Apple, and Google executives frequently utilize similar plans for their stock transactions.

Corporate Governance

Related Party Transactions

• The shares are indirectly held by CBC Co Pty Limited as trustee for the Cannon-Brookes Head Trust, indicating a related party structure for beneficial ownership.

Stakeholder Impact

• Shareholders: The sale represents a minor reduction in the co-founder's direct economic interest, but the pre-planned nature mitigates concerns about management's confidence.
• Employees: No direct impact on employees is indicated by this filing.

Key Dates

Recommendation

The reported insider sales were executed under a pre-arranged 10b5-1 trading plan, which is a common practice for executives to diversify holdings and manage liquidity. Such routine transactions are generally not indicative of a change in the company's fundamental prospects or a negative signal for investors, thus a 'hold' recommendation is appropriate.

Keywords

Atlassian, TEAM, Michael Cannon-Brookes, Insider Trading, Form 4, Stock Sale, 10b5-1 Plan, Corporate Governance