Form 4: Clearwater Analytics Executive Souvik Das Reports Stock Transactions Following PSU Vesting
SEC Form 4
Souvik Das, Chief Technology Officer of Clearwater Analytics, reports the acquisition and disposal of Class A Common Stock related to the vesting of performance stock units (PSUs) and subsequent sales to cover tax obligations.
Summary
- On February 19, 2025, Souvik Das, the Chief Technology Officer of Clearwater Analytics Holdings, Inc., reported transactions involving Class A Common Stock.
- These transactions included the acquisition of shares through the vesting of performance stock units (PSUs) issued on various dates (September 24, 2021, March 18, 2022, February 20, 2023, and February 28, 2024).
- The PSUs vested based on Clearwater Analytics' achievement of certain revenue growth performance criteria in 2024.
- Das acquired a total of 143,750 shares through PSU vesting.
- Simultaneously, Das disposed of shares to cover tax withholding obligations at a price of $30.0707 per share.
- A total of 76,844 shares were sold to cover these obligations.
- After these transactions, Das directly owns 132,900 shares of Class A Common Stock.
Sentiment
Score: 7
Explanation: The sentiment is neutral to positive. The vesting of PSUs suggests the company met its performance targets. The sale of shares is a standard procedure for covering tax obligations and doesn't necessarily indicate a negative outlook.
Positives
- The vesting of PSUs indicates that Clearwater Analytics achieved its revenue growth targets for 2024, which is a positive sign for the company's performance.
Industry Context
This filing is a routine disclosure related to executive compensation and stock ownership, common in publicly traded companies. The vesting of PSUs is tied to company performance, aligning executive incentives with shareholder value.
Comparison to Industry Standards
- PSUs are a common form of executive compensation in the tech industry, aligning executive incentives with company performance.
- The 'sell to cover' transaction for tax obligations is a standard practice to manage the tax implications of equity compensation.
Stakeholder Impact
- Shareholders may view the vesting of PSUs positively, as it indicates the company achieved its performance goals.
- Employees who hold similar equity compensation may be encouraged by the vesting of PSUs.
Key Dates
| Date | Description |
|---|---|
| 09/24/2021 | Date of issuance of performance stock units (PSUs) to the Reporting Person. |
| 03/18/2022 | Date of issuance of performance stock units (PSUs) to the Reporting Person. |
| 02/20/2023 | Date of issuance of performance stock units (PSUs) to the Reporting Person. |
| 02/28/2024 | Date of issuance of performance stock units (PSUs) to the Reporting Person. |
| 02/19/2025 | Date of transaction: vesting of PSUs and sale of shares to cover tax obligations. |
| 02/21/2025 | Date of signature for the Form 4 filing. |
Keywords
Form 4, Clearwater Analytics, CWAN, Souvik Das, Chief Technology Officer, PSU, Performance Stock Units, Vesting, Tax Withholding, Class A Common Stock, Revenue Growth
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