Form 4: Netflix Co-CEO Theodore Sarandos Reports Stock Transactions

Netflix Co-CEO Theodore Sarandos acquired 20,740 shares of common stock and disposed of 10,155 shares to cover tax obligations on January 7, 2025.

Summary

• On January 7, 2025, Theodore Sarandos, Co-CEO of Netflix, acquired 20,740 shares of Netflix common stock.
• These shares were awarded as performance-based restricted stock units (PSUs) that vested.
• On the same day, Mr. Sarandos disposed of 10,155 shares of common stock at a price of $881.79 per share.
• This disposal was to cover tax withholding obligations related to the vesting of the PSUs.
• Following these transactions, Mr. Sarandos directly owns 13,141 shares of Netflix common stock.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to executive compensation. The acquisition of shares is positive, while the disposal is for tax purposes, resulting in a neutral to slightly positive sentiment.

Positives

• The acquisition of 20,740 shares indicates a positive performance outcome for Mr. Sarandos's PSUs.
• The vesting of PSUs suggests that performance targets were met.

Negatives

• The disposal of 10,155 shares, while for tax purposes, reduces Mr. Sarandos's overall holdings.

Risks

• The document does not indicate any specific risks.

Industry Context

This is a routine filing related to executive compensation and stock ownership, which is common in publicly traded companies like Netflix. It does not indicate any unusual activity or trends.

Comparison to Industry Standards

• Stock transactions by executives are a standard practice in publicly traded companies.
• The use of performance-based restricted stock units (PSUs) is a common form of executive compensation.
• Similar transactions are regularly reported by executives at companies like Amazon, Apple, and Disney.

Stakeholder Impact

• The transaction has a minor impact on shareholders as it is a routine executive stock transaction.

Key Dates

Keywords

Netflix, Theodore Sarandos, stock transaction, performance-based restricted stock units, PSUs, tax withholding, insider trading, SEC Form 4