Form 4: Domo CEO Joshua James Reports Stock Transactions

CEO Joshua James reports acquisition and disposal of Domo, Inc. Class B Common Stock due to vesting of restricted stock units and tax obligations.

Summary

• On April 10, 2025, Joshua James, CEO of Domo, Inc., reported transactions involving Class B Common Stock.
• He acquired 43,584 shares through the vesting of restricted stock units (RSUs) at a price of $0 per share.
• Simultaneously, 12,596 shares were disposed of at $8.26 per share to cover tax liabilities associated with the RSU vesting.
• Following these transactions, James directly owns 1,066,947 shares of Class B Common Stock.
• He also has indirect ownership through various entities, including the James Family Charitable Remainder Trust (116,600 shares), Cocolalla, LLC (429,810 shares), Cinnamon Birch LLC (10,000 shares), and shares held by his spouse (2,143 shares).
• James also indirectly owns 3,263,659 shares of Class A Common Stock through Cocolalla, LLC, which are convertible to Class B Common Stock on a 1:1 basis.

Sentiment

Score: 6

Explanation: The sentiment is neutral. The transactions are routine and related to compensation and tax obligations. There's no indication of unusual activity or concern.

Positives

• The vesting of RSUs indicates continued alignment of the CEO's interests with those of the shareholders.

Negatives

• The sale of shares to cover tax liabilities, while common, slightly reduces the CEO's direct holdings.

Risks

• Significant stock ownership by insiders could potentially lead to concentrated control and influence over the company.

Industry Context

Form 4 filings are a routine part of corporate governance, providing transparency into the trading activities of company insiders. Investors monitor these filings to gauge management's sentiment and confidence in the company's prospects. The transactions are typical for executives receiving stock-based compensation.

Comparison to Industry Standards

• Insider transactions are common across publicly traded companies, particularly in the tech sector where stock-based compensation is prevalent.
• Comparing Joshua James's holdings and transactions to those of CEOs at similar SaaS companies (e.g., Bill McDermott at ServiceNow, Marc Benioff at Salesforce) would provide a benchmark for assessing the magnitude of his stake and trading activity.
• The use of trusts and LLCs for holding shares is a common practice among high-net-worth individuals for estate planning and asset management purposes.

Stakeholder Impact

• The transactions are unlikely to have a significant impact on stakeholders, as they are routine and related to executive compensation.

Key Dates

Keywords

DOMO, Joshua James, insider trading, Form 4, Class B Common Stock, RSU, restricted stock units, Cocolalla LLC, James Family Charitable Remainder Trust