Form 4: Digi Power X Insider Sells Shares, Updates Holdings

Digi Power X President and Director Alec Amar reported the sale of 27,500 subordinate voting shares and updated his beneficial ownership, including significant derivative holdings.

Summary

• Alec Amar, President and Director of Digi Power X Inc. (DGXX), reported a sale of 27,500 subordinate voting shares on March 2, 2026.
• The shares were sold at a weighted average price of $2.86, with individual trades ranging from $2.64 to $2.96.
• Following the transaction, Amar directly beneficially owns 1,368,949 subordinate voting shares and indirectly owns 45,000 shares through Matbrands LLC.
• Amar also holds 365,000 fully vested employee stock options with an exercise price of $1.53 (CAD$2.09), expiring June 6, 2030.
• An additional 300,000 fully vested employee stock options are held with an exercise price of $3.58 (CAD$4.90), expiring November 19, 2030.
• He holds 133,334 Restricted Stock Units (RSUs) scheduled to vest on February 9, 2027.
• Another 216,667 RSUs are scheduled to vest in two equal annual installments beginning December 1, 2026.
• A further 300,000 RSUs are scheduled to vest in three equal annual installments beginning November 19, 2026.

Sentiment

Score: 4

Explanation: StockSavvy.ai views this as a moderately negative signal due to insider selling by a high-ranking executive, although the sale volume is relatively small compared to total holdings and significant derivative positions remain.

Positives

• Significant remaining direct and indirect beneficial ownership of 1,413,949 subordinate voting shares by a key insider.
• Substantial holdings of employee stock options (665,000 fully vested) and Restricted Stock Units (650,001 total) indicate continued long-term incentive alignment.

Negatives

• Insider sale of 27,500 subordinate voting shares by the President and Director, Alec Amar, which can be perceived negatively by the market.
• The sale occurred at a weighted average price of $2.86, which is below the exercise price of some derivative holdings ($3.58 options).

Future Outlook

This Form 4 filing does not contain forward-looking statements or guidance regarding the company's future performance or strategic direction.

Industry Context

StockSavvy.ai notes that insider selling, especially by a President and Director, can sometimes signal a lack of confidence in the company's near-term prospects or a belief that the stock is fully valued. However, it could also be for personal financial planning reasons unrelated to the company's performance. The sale of 27,500 shares represents a relatively small portion of Amar's total beneficial ownership, which includes substantial derivative holdings.

Stakeholder Impact

• Shareholders: May interpret the insider sale as a negative signal, potentially impacting investor confidence and share price.
• Employees: No direct impact mentioned, but general market sentiment could indirectly affect morale.

Next Steps

• Remaining Restricted Stock Units (133,334) are scheduled to vest on February 9, 2027.
• Remaining Restricted Stock Units (216,667) are scheduled to vest in two equal annual installments beginning December 1, 2026.
• Remaining Restricted Stock Units (300,000) are scheduled to vest in three equal annual installments beginning November 19, 2026.

Key Dates

Recommendation

While insider selling by a President and Director is generally a negative signal, the volume of shares sold is relatively small compared to Alec Amar's overall beneficial ownership, which still includes a substantial number of shares and significant derivative holdings. This suggests continued alignment with shareholder interests, but the sale itself warrants a cautious 'hold' rather than a 'buy' until further company-specific news or financial results provide clearer direction.

Keywords

Digi Power X Inc., DGXX, Alec Amar, Insider Trading, Form 4, Share Sale, Beneficial Ownership, Stock Options, Restricted Stock Units, Corporate Governance