Form 4: Health Catalyst COO LeSueur Acquires 70,000 Shares of Restricted Stock Units

Health Catalyst's Chief Operating Officer, Daniel LeSueur, reports the acquisition of 70,000 restricted stock units and the sale of 3,279 shares to cover tax obligations.

Summary

• Daniel LeSueur, the Chief Operating Officer of Health Catalyst, Inc., filed a Form 4 detailing changes in beneficial ownership.
• On March 1, 2024, LeSueur acquired 70,000 restricted stock units (RSUs) under the company's 2019 Stock Option and Incentive Plan.
• These RSUs represent a contingent right to receive one share of Health Catalyst's common stock each.
• The RSUs vest over time, with 33.33% vesting on December 1, 2024, and the remaining 66.67% vesting in eight equal quarterly installments thereafter.
• On the same day, LeSueur sold 3,279 shares of common stock at a price of $8.0512 per share.
• This sale was mandated by the issuer to cover tax withholding obligations related to the vesting of restricted stock units.
• Following these transactions, LeSueur directly owns 174,219 shares of Health Catalyst common stock.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The RSU grant indicates confidence in the company's future, while the sale of shares to cover taxes is a standard procedure.

Positives

• The grant of 70,000 restricted stock units to the COO aligns his interests with the long-term success of the company.
• The vesting schedule of the RSUs encourages continued service and commitment from the COO.

Future Outlook

The remaining 66.67% of the RSUs will vest in 8 equal quarterly installments after the initial vesting date of December 1, 2024.

Industry Context

Form 4 filings are a routine part of corporate governance, providing transparency into the transactions of company insiders. The acquisition of RSUs is a common form of executive compensation in the tech industry, aligning management's interests with shareholder value.

Comparison to Industry Standards

• Equity compensation is a standard practice across the technology industry.
• Companies like Cerner (now Oracle Health), Epic Systems, and Allscripts also utilize stock options and restricted stock units to incentivize their executives.
• The vesting schedules and amounts of equity grants vary based on company size, performance, and individual roles.

Stakeholder Impact

• The RSU grant aligns management's interests with shareholders, potentially driving long-term value creation.
• The sale of shares to cover taxes has a minimal impact on the market.

Next Steps

• Continued monitoring of insider transactions for further insights into management's perspective on the company's prospects.
• Tracking the vesting of the RSUs and any subsequent transactions by the reporting person.

Key Dates