Form 4: Butterfly Network Director Sells Shares for Tax Obligations
Insider Transaction Report
Butterfly Network Director Dawn Carfora sold 112,009 shares of Class A Common Stock on November 4, 2025, to cover tax obligations from vested restricted stock units.
Summary
- Director Dawn Carfora of Butterfly Network, Inc. sold 112,009 shares of Class A Common Stock.
- The transaction occurred on November 4, 2025, at a weighted average price of $2.695 per share, with prices ranging from $2.68 to $2.731.
- The sale was executed to cover tax obligations related to previously vested restricted stock units.
- Following the transaction, Ms. Carfora beneficially owns 265,505 shares directly.
- The sale was made pursuant to a Rule 10b5-1(c) trading plan, indicating a pre-arranged transaction.
Sentiment
Score: 5
Explanation: The transaction is a routine sale to cover tax obligations from vested equity, which is a neutral event. It does not indicate a change in confidence or company performance.
Positives
- The sale was conducted under a Rule 10b5-1(c) plan, indicating a pre-scheduled transaction rather than an immediate reaction to new information.
- The transaction is for tax obligations, a routine and expected event for executives receiving equity compensation.
Negatives
- A director's sale of shares, even for tax purposes, reduces their direct ownership stake in the company.
Future Outlook
NA
Management Comments
- Represents shares sold by the Reporting Person to cover tax obligations in connection with the previous vesting of restricted stock units granted to the Reporting Person.
- Represents the weighted average sales price per share. The shares sold at prices ranging from $2.68 to $2.731 per share.
Industry Context
NA
Corporate Governance
| Change Type | Description | Effective Date | Impact Assessment |
|---|---|---|---|
| Power of Attorney Grant | Dawn Carfora granted a Limited Power of Attorney to Nick Caezza, Megan Carlson of Butterfly Network, Inc., and Stacie Aarestad and Ryan Rourke Reed of Foley Hoag LLP, to execute and file SEC forms (Form ID, 3, 4, 5, Schedules 13D/G) on her behalf. | 11/04/2025 | Streamlines the process for filing required SEC disclosures for the reporting person, ensuring timely compliance with Section 16 of the Securities Exchange Act of 1934. |
Stakeholder Impact
- Shareholders: A minor reduction in director ownership, but the reason (tax obligations) suggests no negative signal about company prospects.
- Employees: No direct impact from this specific transaction.
Key Dates
| Date | Description |
|---|---|
| 11/04/2025 | Date of transaction where 112,009 shares were sold by Dawn Carfora. |
| 11/05/2025 | Date the Form 4 was signed and filed. |
Recommendation
holdThis Form 4 filing reports a routine, pre-scheduled sale of shares by a director to cover tax obligations associated with vested restricted stock units. Such transactions are common and generally do not signal a change in the company's fundamentals or the director's confidence. Without additional information from other filings (e.g., earnings reports, strategic announcements), this single transaction does not provide sufficient basis to alter an investment thesis, hence a 'hold' recommendation is appropriate. It's a neutral event in the context of investment decisions.
Keywords
Butterfly Network, BFLY, Form 4, Insider Trading, Stock Sale, Director, Dawn Carfora, Restricted Stock Units, Tax Obligations, 10b5-1 Plan
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