Form 4: Castle Biosciences CEO Derek Maetzold Sells Shares Under 10b5-1 Plan

Castle Biosciences CEO Derek Maetzold sold shares of common stock on March 7, 2024, under a pre-arranged Rule 10b5-1 trading plan.

Summary

• On March 7, 2024, Derek J Maetzold, the President and CEO of Castle Biosciences, Inc., sold shares of the company's common stock.
• The sales were executed under a pre-arranged Rule 10b5-1 trading plan adopted on December 5, 2023.
• Maetzold sold 2,372 shares directly at a weighted-average price of $20.77, with individual trades ranging from $20.55 to $21.13.
• Additionally, shares held in various trusts for the benefit of Maetzold's family members were also sold.
• These trusts include The Maetzold Descendants 2020 Trust (1,222 shares), Derek Maetzold 2020 Irrevocable Trust (1,222 shares), and several Maetzold 2018 Remainder Trusts (388 shares each for Emily Carol Kirk, Hannah Elizabeth Maetzold, John Derek Maetzold, and Peter Douglas Maetzold).
• Following these transactions, Maetzold directly owns 72,101 shares and indirectly owns shares through various trusts, including 89,754 shares via The Maetzold Descendants 2020 Trust and 78,651 shares via Derek Maetzold 2020 Irrevocable Trust.
• He also indirectly owns 10,843 shares each through The Maetzold 2018 Remainder Trusts for Emily Carol Kirk, Hannah Elizabeth Maetzold, John Derek Maetzold, and Peter Douglas Maetzold.
• Maetzold also indirectly owns 149,000 shares via DJM Grantor Retained Annuity Trust No. 5.

Sentiment

Score: 5

Explanation: The sentiment is neutral. It's a routine transaction under a pre-existing plan, but insider sales can sometimes be viewed with caution.

Negatives

• The CEO selling shares could be perceived negatively by some investors, although it is part of a pre-planned strategy.

Risks

• Continued sales under the 10b5-1 plan could exert downward pressure on the stock price.

Industry Context

Sales by insiders are common and often pre-planned to avoid accusations of trading on inside information. Rule 10b5-1 plans are a standard tool for executives to manage their stock holdings.

Stakeholder Impact

• The stock sale could have a minor impact on shareholder sentiment.

Key Dates