Form 4: Chegg CEO Nathan Schultz Reports Stock Disposals for Tax Obligations

Chegg's CEO, Nathan Schultz, reported the disposal of common stock to cover tax obligations related to the vesting of restricted stock units (RSUs) and performance stock units (PSUs).

Summary

• On September 12, 2024, Nathan J. Schultz, CEO and President of Chegg, Inc., reported the disposal of 10,225 shares of common stock at a price of $1.85.
• This disposal was an exempt transaction under Section 16b-3(e) to cover tax liabilities associated with the vesting of restricted stock units (RSUs).
• An additional 4,026 shares were disposed of at $1.85 per share for tax obligations related to the vesting of performance stock units (PSUs).
• The shares were automatically withheld by Chegg to satisfy federal and state tax withholding obligations.
• Following these transactions, Schultz directly owns 684,154 shares and indirectly owns 161,647 shares through the Schultz Family Trust.
• Woodie H. Dixon, Jr., Attorney-in-Fact, signed the report on September 16, 2024.

Sentiment

Score: 5

Explanation: The document is a routine regulatory filing detailing stock disposals for tax purposes, which is neither particularly positive nor negative.

Industry Context

Form 4 filings are standard practice for reporting changes in beneficial ownership by company insiders, ensuring transparency in the market.

Stakeholder Impact

• The stock disposal to cover tax obligations may have a minor dilutive effect on shareholders.

Key Dates