Form 4: Health Catalyst CFO Sells Shares to Cover Tax Obligations

Jason Alger, CFO of Health Catalyst, Inc., sold 7,304 shares of common stock on March 3, 2025, to cover tax withholding obligations related to the vesting of restricted stock units.

Summary

• On March 3, 2025, Jason Alger, the Chief Financial Officer of Health Catalyst, Inc. (HCAT), executed a transaction involving the company's common stock.
• Alger sold 7,304 shares at a price of $4.5771 per share.
• This sale was conducted to cover tax withholding obligations associated with the vesting of restricted stock units.
• Following the transaction, Alger directly owns 272,358 shares of Health Catalyst, Inc.
• The sale was mandated by the issuer's election under its equity incentive plans to require the satisfaction of tax withholding obligations to be funded by a 'sell to cover' transaction and does not represent a discretionary trade by the Reporting Person.

Sentiment

Score: 6

Explanation: The document is neutral. It reports a routine transaction related to tax obligations, which is a common practice. There is no indication of positive or negative sentiment regarding the company's performance or future outlook.

Management Comments

• The sale is mandated by the issuer's election under its equity incentive plans to require the satisfaction of tax withholding obligations to be funded by a 'sell to cover' transaction and does not represent a discretionary trade by the Reporting Person.

Industry Context

Executive stock sales for tax obligations are a common practice, especially after vesting of restricted stock units. This type of transaction is generally viewed as routine and not necessarily indicative of the executive's sentiment about the company's future prospects.

Comparison to Industry Standards

• Executive compensation packages often include restricted stock units (RSUs) that vest over time.
• Upon vesting, these RSUs are subject to income tax, and executives often sell a portion of their shares to cover these tax obligations.
• Many companies, including those in the healthcare technology sector, have 'sell to cover' programs to facilitate these transactions.
• This practice is widely accepted and does not typically raise concerns unless the volume of shares sold is unusually high or accompanied by other negative news.

Key Dates