Form 4: Matterport CFO James Daniel Fay Sells Shares to Cover Taxes and Fees

Matterport's CFO, James Daniel Fay, sold shares of Class A Common Stock between March 5th and March 7th, 2024, to cover taxes and fees associated with vesting restricted stock units.

Summary

• James Daniel Fay, the CFO of Matterport, Inc., sold shares of Class A Common Stock on March 5, 6, and 7, 2024.
• The sales were executed to cover taxes and fees related to the vesting and settlement of restricted stock unit awards.
• On March 5, 2024, 22,095 shares were sold at a weighted average price of $1.9197, resulting in 1,361,351 shares beneficially owned following the transaction.
• On March 6, 2024, 20,735 shares were sold at a weighted average price of $1.9386, resulting in 1,340,616 shares beneficially owned following the transaction.
• On March 7, 2024, 698 shares were sold at a weighted average price of $1.9545, resulting in 1,339,918 shares beneficially owned following the transaction.
• The sales were conducted automatically in non-discretionary transactions.

Sentiment

Score: 5

Explanation: The sentiment is neutral as the filing simply reports share sales to cover tax obligations, a routine event.

Industry Context

Executive share sales are a common occurrence, particularly to cover tax obligations related to equity compensation. The market typically views these sales in the context of the executive's overall holdings and the company's performance.

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 the shares to cover these tax obligations.
• This practice is widespread across publicly traded companies and is not necessarily indicative of a negative outlook on the company's future prospects.
• Comparable companies in the tech sector, such as Zillow, Redfin, and Opendoor, also see similar patterns of executive share sales for tax purposes.

Key Dates