Form 4: Netflix Director Leslie J. Kilgore Executes Stock Option and Sells Shares Under 10b5-1 Plan
SEC Form 4 Filing
Leslie J. Kilgore, a director at Netflix, exercised stock options and sold shares of common stock on October 18, 2024, according to a Form 4 filing with the SEC.
Summary
- On October 18, 2024, Leslie J. Kilgore, a director of Netflix, exercised non-qualified stock options to acquire 358 shares of common stock at a price of $174.74.
- Simultaneously, Kilgore sold 358 shares of Netflix common stock at a price of $765.
- These transactions were executed under a pre-arranged Rule 10b5-1 trading plan adopted on January 29, 2024.
- Following these transactions, Kilgore directly owns 35,262 shares of Netflix common stock and no derivative securities.
Sentiment
Score: 5
Explanation: The sentiment is neutral as the filing simply reports transactions under a pre-existing trading plan, with no indication of positive or negative implications for the company.
Future Outlook
The filing does not contain any forward-looking statements regarding the company's future performance.
Industry Context
This filing reflects routine transactions by a company insider under a pre-arranged trading plan, which is a common practice to avoid accusations of insider trading. It doesn't necessarily indicate a change in the director's confidence in the company.
Comparison to Industry Standards
- Rule 10b5-1 trading plans are a common practice among corporate insiders at companies like Netflix and its peers, such as Disney (DIS) and Amazon (AMZN), to manage their stock holdings while avoiding insider trading concerns.
- The use of these plans allows insiders to sell shares periodically without being accused of acting on non-public information.
- The specific details of these plans, such as the timing and amount of sales, are typically not disclosed beyond what is required in Form 4 filings.
Key Dates
| Date | Description |
|---|---|
| 09/01/2017 | Date Non-Qualified Stock Option became exercisable |
| 01/29/2024 | Date of adoption of Rule 10b5-1 trading plan |
| 10/18/2024 | Date of stock option exercise and share sale |
| 09/01/2027 | Expiration date of Non-Qualified Stock Option |
| 10/21/2024 | Date of signature on the Form 4 filing |
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