Form 4: Nuvalent Director Matthew Shair Sells Shares Under 10b5-1 Trading Plan

Matthew Shair, a director at Nuvalent, Inc., executed multiple sales of Class A Common Stock on September 23, 2024, under a pre-arranged Rule 10b5-1 trading plan.

Summary

• On September 23, 2024, Matthew Shair, a director of Nuvalent, Inc., sold shares of Class A Common Stock.
• The sales were executed under a Rule 10b5-1 trading plan adopted on December 21, 2023.
• The transactions involved multiple sales at varying prices, ranging from $100.77 to $108.04 per share.
• A total of 356 shares were sold at an average price of $101.34, 1,121 shares at $102.29, 101 shares at $103.16, 230 shares at $104.54, 163 shares at $105.36, 6 shares at $106.5, and 23 shares at $107.82.
• Following these transactions, Matthew Shair directly owns 1,427,197 shares and indirectly owns 226,522 shares through the Matthew D. Shair 2021 Irrevocable Family Trust.

Sentiment

Score: 5

Explanation: The document is a standard SEC Form 4 filing, indicating insider trading activity. The sentiment is neutral as it simply reports transactions executed under a pre-arranged trading plan.

Industry Context

Sales by insiders are a common occurrence, and the use of a 10b5-1 trading plan allows insiders to sell shares over a period of time without being accused of trading on inside information. The market typically views these sales in the context of the overall holdings of the insider and the reasons for establishing the trading plan.

Comparison to Industry Standards

• Insider sales are a normal part of corporate governance.
• Companies like Pfizer, Moderna, and BioNTech also have executives who periodically sell shares, often through pre-arranged trading plans.
• The volume and frequency of these sales are generally compared to the individual's total holdings and the company's overall trading volume to assess their significance.

Stakeholder Impact

• The sale of shares by a director could have a minor impact on shareholder sentiment, but is unlikely to be significant given the use of a 10b5-1 trading plan.

Key Dates