4/A: Clearwater Analytics CFO James Cox Executes Stock Option and Sells Shares Under 10b5-1 Plan
SEC Form 4/A
Clearwater Analytics CFO James Cox exercised stock options and sold shares of Class A Common Stock on July 15, 2024, according to a Form 4/A filing.
Summary
- James Cox, CFO of Clearwater Analytics Holdings, Inc., executed stock options and sold shares of Class A Common Stock on July 15, 2024.
- The transactions were made pursuant to a Rule 10b5-1 trading plan adopted on March 11, 2024.
- Cox exercised options to acquire 16,580 shares at a price of $4.40.
- He then sold 6,275 shares at a weighted average price of $18.9205 and 5,000 shares at a weighted average price of $18.9269.
- After these transactions, Cox directly owns 232,503 shares of Class A Common Stock and holds options for 213,506 shares.
Sentiment
Score: 5
Explanation: The sentiment is neutral as the transactions were pre-planned and executed under a Rule 10b5-1 trading plan. It's a routine disclosure of insider activity.
Positives
- The transactions were pre-planned under a Rule 10b5-1 trading plan, indicating an orderly and transparent approach to stock sales.
Industry Context
Insider transactions are common, and the use of a 10b5-1 plan suggests a structured approach to avoid accusations of trading on non-public information. Investors often monitor these filings for insights into management's perspective on the company's value.
Comparison to Industry Standards
- Comparing the CFO's trading activity to peers like Black Knight, Envestnet, or FactSet can provide context.
- Analyzing the percentage of shares sold relative to total holdings is a common benchmark.
- The use of a 10b5-1 plan is a standard practice among public company executives.
Stakeholder Impact
- The transactions could have a minor impact on shareholders due to the change in ownership, but the pre-planned nature mitigates concerns.
Key Dates
| Date | Description |
|---|---|
| 2020-05-20 | Vesting of 120,000 shares |
| 2020-11-02 | Vesting of 198,000 shares |
| 2021-05-20 | Vesting of 70,500 shares |
| 2022-05-20 | Vesting of 70,500 shares |
| 2023-05-20 | Vesting of 70,500 shares |
| 2024-03-11 | Adoption date of Rule 10b5-1 trading plan |
| 2024-05-20 | Vesting of 70,500 shares |
| 2024-07-15 | Date of stock option exercise and share sales |
| 2024-07-16 | Original filing date of Form 4 |
| 2029-05-20 | Expiration date of stock options |
| 2024-07-17 | Date of Form 4/A filing |
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