NTAP.NASDAQNetapp, INC

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

Sentiment:

SEC Form 4 Filing


Michael J. Berry, EVP and CFO of NetApp, Inc., executed multiple sales of common stock between March 12 and March 13, 2024, under a pre-arranged Rule 10b5-1 trading plan.

Summary

  • Michael J. Berry, the EVP and CFO of NetApp, Inc., reported the sale of NetApp common shares on March 12 and 13, 2024.
  • The sales were executed under a Rule 10b5-1 trading plan adopted on September 9, 2023.
  • On March 12, 2024, Berry sold 5,978 shares at a weighted average price of $102.57, with prices ranging from $102.08 to $103.03.
  • On the same day, he sold an additional 1,522 shares at a weighted average price of $103.45, with prices ranging from $103.14 to $103.93.
  • On March 13, 2024, Berry sold 7,500 shares at a weighted average price of $102, with prices ranging from $101.54 to $102.40.
  • Following these transactions, Berry indirectly owns 144,909 shares through The Berry Family Trust.
  • A Power of Attorney document was also filed, authorizing individuals to act on Berry's behalf for SEC filings.

Sentiment

Score: 5

Explanation: The document is a routine disclosure of stock sales by an executive under a pre-arranged trading plan. It doesn't inherently indicate positive or negative sentiment, but rather a standard practice for managing personal finances.

Industry Context

Executive stock sales are a common occurrence, often planned in advance to diversify personal holdings or for other financial planning reasons. The use of a 10b5-1 trading plan allows insiders to sell shares without being accused of acting on non-public information.

Comparison to Industry Standards

  • Executive compensation and stock ownership are closely watched metrics in the tech industry.
  • Comparing Berry's stock sales to those of executives at similar companies like Pure Storage, Dell, or Hewlett Packard Enterprise would provide context on whether these sales are typical or unusual.
  • The percentage of shares sold relative to total holdings is a key indicator; small, regular sales are generally viewed differently than large, infrequent sales.

Stakeholder Impact

  • The stock sales could have a minor, temporary impact on the stock price, but the existence of a 10b5-1 plan suggests the sales are not based on inside information.
  • The sales do not appear to have any direct impact on employees, customers, suppliers, or creditors.

Key Dates

DateDescription
2023-09-09Date the Rule 10b5-1 trading plan was adopted by Michael J. Berry.
2024-03-04Date of Power of Attorney execution.
2024-03-12Date of first reported transaction: sale of 5,978 shares at $102.57 and 1,522 shares at $103.45.
2024-03-13Date of second reported transaction: sale of 7,500 shares at $102.
2024-03-14Date of Form 4 filing.

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