Form 4: C3.ai Director Stephen M. Ward Jr. Acquires Stock Options

Director Stephen M. Ward Jr. acquired stock options in C3.ai, Inc. on October 2, 2024.

Summary

• On October 2, 2024, Stephen M. Ward Jr., a director of C3.ai, Inc., acquired stock options.
• The stock options grant the right to buy 24,993 shares of Class A Common Stock at an exercise price of $22.89.
• The options vest quarterly, with 5% of the shares vesting on the last day of each fiscal quarter, contingent upon the director's attendance at regularly scheduled board meetings.
• If the director misses a meeting, the vesting of those shares is suspended and may vest only after the fifth anniversary of the vesting commencement date if attendance requirements are met in subsequent periods.
• The expiration date for the options is October 1, 2034.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. The granting of stock options is a routine event, but it indicates confidence in the company's future.

Positives

• The acquisition of stock options by a director signals confidence in the company's future performance.

Risks

• The vesting schedule is contingent upon the director's attendance at board meetings, which could be affected by unforeseen circumstances.

Future Outlook

The document does not contain specific forward-looking statements beyond the vesting schedule of the stock options.

Industry Context

Stock option grants are a common form of executive compensation in the technology industry, aligning the interests of management with those of shareholders.

Comparison to Industry Standards

• Stock option grants are a standard component of compensation packages for directors and executives in technology companies.
• Companies like Palantir, Snowflake, and Databricks also utilize stock options as part of their compensation strategy to incentivize performance and retain key personnel.
• The vesting schedule tied to board meeting attendance is a less common but potentially effective mechanism to ensure active participation and engagement from board members.

Stakeholder Impact

• The granting of stock options can positively impact shareholders by aligning the interests of the director with the company's long-term success.
• Employees may view the grant as a positive sign of the company's commitment to its leadership.

Key Dates