Form 4: Clearwater Analytics Executive Scott Erickson Executes Stock Option and Sells Shares

Sentiment:

SEC Form 4


Clearwater Analytics' Chief Revenue Officer, Scott Erickson, exercised stock options and sold shares under a pre-arranged Rule 10b5-1 trading plan.

Summary

  • On September 10, 2024, Scott Erickson, Chief Revenue Officer of Clearwater Analytics Holdings, Inc., executed a stock option to acquire 9,557 shares of Class A Common Stock at a price of $4.
  • Following the exercise of the option, Erickson disposed of 5,667 shares to cover tax obligations at a price of $23.7499 per share.
  • Erickson also sold 3,890 shares of Class A Common Stock at a weighted average price of $23.7499, with individual trades ranging from $23.55 to $24.11.
  • These transactions were executed under a pre-arranged Rule 10b5-1 trading plan adopted on March 8, 2024.
  • After these transactions, Erickson directly owns 4,844 shares of Class A Common Stock.

Sentiment

Score: 5

Explanation: Neutral sentiment as it reports routine stock transactions by an executive under a pre-arranged trading plan. No explicit positive or negative implications are apparent.

Industry Context

Executive stock transactions are common and closely monitored, providing insights into management's perspective on the company's valuation and future prospects. Rule 10b5-1 plans allow insiders to sell shares while avoiding accusations of trading on non-public information.

Stakeholder Impact

  • The transactions may have a minor impact on shareholders due to the change in ownership, but the pre-planned nature of the sales mitigates concerns about insider trading.

Key Dates

DateDescription
2020-11-02Vesting of 198,000 shares
2018-01-24Vesting of 120,000 shares
2019-01-16Vesting of 120,000 shares
2020-01-21Vesting of 120,000 shares
2021-03-05Vesting of 21,000 shares
2022-01-01Vesting of 21,000 shares
2024-03-08Date of adoption of Rule 10b5-1 trading plan
2024-09-10Date of stock option exercise and share sales
2027-12-31Expiration date of stock options
2024-09-11Date of Form 4 filing

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