NFLX.NASDAQNetflix INC

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

Sentiment:

SEC Form 4 Filing


Theodore Sarandos, Co-CEO of Netflix, reports the vesting and sale of restricted stock units (RSUs) and associated tax withholding.

Summary

  • On May 5th and 6th, 2025, Theodore Sarandos, Co-CEO of Netflix, engaged in transactions involving Netflix common stock and restricted stock units (RSUs).
  • Sarandos vested 2,593 and 1,444 shares from previously granted RSUs on May 5th, 2025.
  • Shares were withheld to cover tax obligations arising from the vesting of these RSUs, totaling 1,291 and 719 shares respectively, at a price of $1,156.49.
  • On May 6th, 2025, Sarandos sold 2,027 shares of common stock at a weighted average price of $1,140.2483.
  • Following these transactions, Sarandos directly owns 15,168 shares of Netflix common stock and holds 15,556 and 14,442 restricted stock units.
  • The RSUs vest quarterly, with the initial grants occurring on January 25, 2024, for 31,112 RSUs and January 23, 2025, for 17,330 RSUs.

Sentiment

Score: 5

Explanation: The document reflects routine insider transactions related to compensation. It doesn't contain information that would significantly shift investor sentiment positively or negatively.

Industry Context

This filing is a routine disclosure of insider transactions, which are common for executives at publicly traded companies like Netflix. These transactions are closely watched by investors for signals about management's confidence in the company's future prospects.

Comparison to Industry Standards

  • Executive compensation packages often include restricted stock units (RSUs) that vest over time, similar to those granted to Theodore Sarandos.
  • The vesting schedules and tax withholding practices are standard across many publicly traded companies, including peers like Disney, Amazon Prime and Apple TV.
  • The sale of shares by executives is a common occurrence and doesn't necessarily indicate a negative outlook, as it can be part of personal financial planning.

Key Dates

DateDescription
2024-01-25Reporting Person was granted 31,112 RSUs.
2024-02-031/12th of the 31,112 RSUs vest on a quarterly basis beginning on this date.
2025-01-23Reporting Person was granted 17,330 RSUs.
2025-02-031/12th of the 17,330 RSUs vest on a quarterly basis beginning on this date.
2025-05-05Vesting of 2,593 and 1,444 RSUs, shares withheld for taxes.
2025-05-06Sale of 2,027 shares of common stock.
2025-05-07Date of Form 4 signature.

Keywords

Netflix, Sarandos, RSU, Stock Sale, Form 4, Insider Trading, Vesting, Common Stock

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