Form 4: Kratos Defense & Security Solutions Executive Sells Shares Under 10b5-1 Plan

David M. Carter, President of the DRSS Division at Kratos Defense & Security Solutions, sold 4,000 shares of common stock at an average price of $26.4881 per share under a pre-arranged 10b5-1 trading plan.

Summary

• David M. Carter, President of the DRSS Division at Kratos Defense & Security Solutions, sold 4,000 shares of the company's common stock.
• The sale occurred on January 2, 2025, at a weighted average price of $26.4881 per share.
• The shares were sold under a 10b5-1 trading plan adopted on May 20, 2024.
• The sale was executed in multiple transactions with prices ranging from $26.26 to $26.89.
• Following the transaction, Mr. Carter directly owns 103,430 shares of Kratos common stock.
• This total includes shares purchased through the Employee Stock Purchase Plan and held in the 401(k) Plan.

Sentiment

Score: 5

Explanation: The document reports a routine stock sale by an executive under a pre-arranged plan. It is a neutral event with no significant positive or negative implications.

Industry Context

Executive stock sales are a common occurrence and are often part of pre-arranged trading plans. This transaction is not unusual for a company like Kratos.

Comparison to Industry Standards

• Executive stock sales are a normal part of compensation and portfolio management in publicly traded companies.
• Many executives use 10b5-1 plans to avoid accusations of insider trading.
• The volume of shares sold is not significant compared to the total outstanding shares of Kratos.
• Comparable companies in the defense and security sector also see similar transactions by their executives.

Stakeholder Impact

• The stock sale has a minimal impact on shareholders as it is a small transaction by an executive.
• The sale does not affect the company's operations or financial health.

Key Dates

Keywords

Kratos, insider trading, stock sale, 10b5-1 plan, executive, David M. Carter, KTOS, DRSS Division