Form 4: Hagerty Director Plans Future Stock Sale Under 10b5-1

Hagerty, Inc. Director Robert I. Kauffman reported a planned future sale of 15,270 Class A Common Stock shares at a weighted average price of $11.12, executed under a pre-arranged 10b5-1 trading plan.

Summary

• Director Robert I. Kauffman plans to sell 15,270 shares of Hagerty, Inc. Class A Common Stock.
• The transaction is scheduled to occur on October 27, 2025.
• The shares are to be sold at a weighted average price of $11.12 per share, with individual trades expected to range from $10.97 to $11.22.
• Following this planned transaction, Mr. Kauffman, through Aldel LLC, will beneficially own 898,097 shares.
• This planned sale is conducted pursuant to a Rule 10b5-1 trading plan adopted on August 9, 2024.

Sentiment

Score: 5

Explanation: A director's planned future sale of shares is generally a neutral to slightly negative signal. However, the execution under a pre-arranged 10b5-1 plan for a future date significantly mitigates any negative sentiment, as it suggests a planned financial management decision rather than a reaction to new, adverse company information.

Positives

• The planned sale is executed under a pre-arranged Rule 10b5-1 trading plan, indicating a scheduled divestment rather than a reaction to new, negative information, which can reduce market speculation.

Negatives

• A director's planned sale of a significant number of shares, even if pre-planned, could be perceived by some investors as a signal of limited upside potential.

Industry Context

Insider transactions, particularly sales by directors, are routinely monitored by investors as they can sometimes signal management's perception of future company performance. However, sales executed under a Rule 10b5-1 plan, especially those scheduled for a future date, are generally viewed as less indicative of immediate sentiment, as they are pre-scheduled and often for personal financial planning purposes.

Related Party Transactions

• The shares are held by Aldel LLC, where Robert I. Kauffman is the manager and has voting and investment discretion. This constitutes an indirect beneficial ownership and is reported as a related party transaction in the context of insider reporting.

Stakeholder Impact

• Shareholders might interpret the director's planned future sale as a potential signal, though the 10b5-1 plan and future date mitigate concerns about immediate market impact or a reactive decision.

Key Dates

Recommendation

The planned sale of shares by Director Robert I. Kauffman, scheduled for a future date and conducted under a pre-arranged Rule 10b5-1 trading plan, indicates a systematic financial management decision rather than a reaction to new, adverse company information. This transaction alone does not provide sufficient new information to warrant a change in investment thesis. Investors should hold and continue to monitor company fundamentals and broader market conditions.

Keywords

Hagerty, HGTY, Insider Sale, Form 4, Robert I Kauffman, Director, Stock Sale, 10b5-1 Plan, Aldel LLC