Form 4: Cardiff Lexington CEO Converts Preferred Stock to Common
Insider Transaction Report
Cardiff Lexington Corp's CEO, Alex H. Cunningham, reported a series of preferred stock conversions into common stock and a transfer of common shares to a revocable trust.
Summary
- Alex H. Cunningham, CEO, Director, and 10% Owner of Cardiff Lexington Corp (CDIX), reported multiple transactions related to his beneficial ownership.
- On April 9, 2025, Cunningham exchanged 195,750 shares of Series I Preferred Stock for 150,000 shares of Series B, 3 shares of Series C, and 27,000 shares of Series E Preferred Stock.
- On April 24, 2025, all Series B, C, and E Preferred Stock held by Cunningham were automatically converted into Common Stock, resulting in the acquisition of 1,050,000 shares from Series B, 270,000 shares from Series C, and 154,000 shares from Series E.
- On September 8, 2025, Cunningham transferred 2,496,834 shares of Common Stock from his direct ownership to the Alexander Hunt Cunningham, Sr. Revocable Trust, where he serves as Trustee.
- On November 19, 2025, all 5,036,546 shares of Series I Preferred Stock held by Cunningham were automatically converted into 10,073,092 shares of Common Stock.
- Following these transactions, Cunningham's direct beneficial ownership of Common Stock increased to 10,073,096 shares, with an additional 2,496,834 shares held indirectly through the trust.
Sentiment
Score: 5
Explanation: Neutral. This Form 4 reports routine insider ownership changes, primarily conversions of preferred stock to common stock and a transfer to a trust, which are mechanical events and do not inherently indicate positive or negative sentiment about the company's performance or prospects.
Future Outlook
No forward-looking statements or guidance were provided in this filing.
Industry Context
This is a company-specific insider transaction report detailing changes in beneficial ownership, which is a routine disclosure and does not directly reflect broader industry trends.
Related Party Transactions
- Transfer of 2,496,834 shares of Common Stock from direct ownership to the Alexander Hunt Cunningham, Sr. Revocable Trust, of which the Reporting Person is the Trustee.
Stakeholder Impact
- Shareholders: The conversions increase the number of common shares beneficially owned by a key insider, potentially aligning his interests more closely with common shareholders. The transfer to a trust is an estate planning move and does not change overall beneficial ownership.
Key Dates
| Date | Description |
|---|---|
| 04/09/2025 | Reporting Person entered into a cancellation and exchange agreement, surrendering 195,750 Series I Preferred Stock for 150,000 Series B, 3 Series C, and 27,000 Series E Preferred Stock. |
| 04/24/2025 | All Series B, Series C, and Series E Preferred Stock held by the Reporting Person were automatically converted into Common Stock. |
| 09/08/2025 | Reporting Person transferred 2,496,834 shares of Common Stock to Alexander Hunt Cunningham, Sr. Revocable Trust. |
| 11/19/2025 | All Series I Preferred Stock held by the Reporting Person were automatically converted into Common Stock. |
| 12/15/2025 | Date of signature for the Form 4 filing. |
Keywords
Cardiff Lexington Corp, CDIX, Alex H. Cunningham, Form 4, Insider Trading, Beneficial Ownership, Preferred Stock Conversion, Common Stock, Trust Transfer, SEC Filing
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