Form 4: Avidity Biosciences CLO Reports Future Stock Transactions

Avidity Biosciences' Chief Legal Officer, John B. Moriarty, reported the future acquisition of 56,000 shares from PSU vesting and the disposition of 26,824 shares for tax withholding, effective December 17, 2025.

Summary

• John B. Moriarty, Chief Legal Officer of Avidity Biosciences, Inc. (RNA), reported changes in his beneficial ownership of common stock.
• On December 17, 2025, Mr. Moriarty is set to acquire 56,000 shares of common stock at a price of $0 per share.
• This acquisition represents shares obtained from the vesting of performance-based restricted stock units (PSUs) that were originally granted on October 30, 2024.
• The PSUs were accelerated and settled on December 17, 2025, for tax planning purposes.
• These acquired shares remain subject to recoupment by Avidity Biosciences if Mr. Moriarty's employment is terminated by the Issuer for cause or by him without good reason.
• Concurrently, on December 17, 2025, Mr. Moriarty is set to dispose of 26,824 shares of common stock at a price of $71.87 per share.
• This disposition represents shares withheld by the Issuer to cover tax withholding obligations related to the settlement of the PSUs.
• Following these transactions, Mr. Moriarty's beneficial ownership of Avidity Biosciences common stock will be 76,931 shares.

Sentiment

Score: 5

Explanation: The filing reports a routine executive compensation event (PSU vesting and tax-related share disposition). While the vesting is positive for the executive, the overall impact on the company's outlook or stock price is neutral, as it's a pre-scheduled, non-discretionary transaction.

Positives

• The vesting of 56,000 performance-based restricted stock units indicates the achievement of performance metrics, aligning executive incentives with company success.

Negatives

• The disposition of 26,824 shares for tax withholding reduces the Chief Legal Officer's direct beneficial ownership in the company.

Risks

• The 56,000 shares acquired from PSU vesting remain subject to recoupment by Avidity Biosciences if the Chief Legal Officer's employment is terminated by the Issuer for cause or by the Reporting Person without good reason.

Future Outlook

This Form 4 details planned future transactions related to executive compensation, specifically the vesting of performance-based restricted stock units and associated tax withholding, scheduled for December 17, 2025. It does not provide broader forward-looking statements or guidance on company performance.

Industry Context

This filing is a routine insider transaction report, common across all publicly traded companies, detailing executive compensation events. It does not provide specific insights into Avidity Biosciences' competitive position or broader industry trends in the biotechnology sector, but rather reflects internal compensation structures.

Stakeholder Impact

• Shareholders: The report details a routine compensation event for a key executive, which is a standard part of corporate governance and executive incentive alignment. The disposition for tax purposes is a common occurrence and does not typically signal a change in management's confidence.
• Employees: The vesting of performance-based units can serve as an example of the company's compensation structure for high-level executives.

Key Dates

Keywords

Avidity Biosciences, RNA, Form 4, Insider Transaction, Executive Compensation, PSU Vesting, Restricted Stock Units, Tax Withholding, Beneficial Ownership