Form 4: NetApp CFO Michael Berry Sells Shares Under 10b5-1 Trading Plan

NetApp's CFO, Michael Berry, executed multiple sales of common stock between June 25 and June 26, 2024, under a pre-arranged Rule 10b5-1 trading plan.

Summary

• Michael Berry, the EVP and CFO of NetApp, sold shares of NetApp common stock on June 25 and June 26, 2024.
• The sales were executed under a Rule 10b5-1 trading plan adopted on September 9, 2023.
• On June 25, 2024, Berry sold 4,251 shares at a weighted average price of $127.04 and 3,249 shares at a weighted average price of $127.51.
• On June 26, 2024, Berry sold 3,611 shares at a weighted average price of $127.05 and 3,889 shares at a weighted average price of $127.81.
• Following these transactions, Berry directly owns no shares, but indirectly owns 185,869 shares through The Berry Family Trust.

Sentiment

Score: 5

Explanation: The sentiment is neutral as the filing simply reports stock sales under a pre-existing trading plan, which is a routine activity.

Industry Context

Executive stock sales are a common occurrence, and sales under 10b5-1 plans are generally viewed as less impactful since they are pre-scheduled. Investors often monitor these transactions for insights into management's perspective on the company's valuation and future prospects.

Comparison to Industry Standards

• Comparing Michael Berry's transactions to those of other CFOs in the tech industry, it's common to see similar sales executed under 10b5-1 plans.
• For example, CFOs at companies like IBM, Oracle, and HP often utilize these plans to diversify their holdings and manage personal finances.
• The size and frequency of these sales are generally in line with industry norms for executives at similarly sized companies.

Stakeholder Impact

• The stock sales could have a minor impact on shareholder sentiment, but the existence of a 10b5-1 plan mitigates concerns about insider information.

Key Dates