Form 4: Fathom Holdings CEO Marco Fregenal Reports Acquisition and Disposal of Common Stock

CEO Marco Fregenal reports acquiring 76,239 shares of Fathom Holdings Inc. common stock at $0.787 per share and disposing of 1,741,500 shares.

Summary

• On April 23, 2025, Marco Fregenal, CEO of Fathom Holdings Inc., acquired 76,239 shares of common stock at a price of $0.787 per share.
• On the same day, Fregenal disposed of 1,741,500 shares of common stock.
• Following these transactions, Fregenal directly owns 5,056 shares and indirectly owns 150,000 shares through the Fregenal 2020 Irrevocable Trust.
• He also holds 50,000 performance rights, each representing a contingent right to receive one share of Fathom Holdings Inc. common stock upon achieving a specified price per share for a specified time.
• 54,499 of the shares are restricted and vest in full on September 1, 2025, and 200,000 are restricted and vest on the first, second and third anniversary of the grant date, November 15, 2024.

Sentiment

Score: 4

Explanation: The sentiment is slightly negative due to the large disposal of shares by the CEO, which could raise concerns among investors despite the acquisition of a smaller number of shares.

Negatives

• The disposal of 1,741,500 shares by the CEO could be perceived negatively by investors.

Risks

• The vesting of restricted shares and performance rights could dilute existing shareholders' equity.
• The CEO's transactions could signal a lack of confidence in the company's future performance.

Industry Context

Form 4 filings are standard disclosures required by the SEC when company insiders, like the CEO, trade their company's stock. These filings are closely watched by investors for signals about management's confidence in the company's prospects.

Comparison to Industry Standards

• Comparing Fathom Holdings' insider trading activity to similar companies in the travel and real estate technology sectors could provide context.
• For example, Zillow's insider trading activity is closely monitored, as is that of Expedia and Redfin.
• Analyzing the frequency and size of insider transactions in these companies can help determine whether Fregenal's actions are typical or unusual.

Stakeholder Impact

• Shareholders may react to the CEO's stock transactions, potentially impacting the stock price.
• Employees may be affected by the perceived confidence (or lack thereof) in the company's future.

Key Dates

Keywords

Fathom Holdings Inc., FTHM, Marco Fregenal, CEO, stock acquisition, stock disposal, Form 4, beneficial ownership, performance rights, restricted stock