Form 4: Okta's Chief Legal Officer Reports Acquisition of Restricted Stock Units
SEC Form 4 Filing
Larissa Schwartz, Okta's Chief Legal Officer, reports the acquisition of restricted stock units and holdings of Class A Common Stock.
Summary
- Larissa Schwartz, Chief Legal Officer and Corporate Secretary of Okta, Inc., filed a Form 4 detailing changes in beneficial ownership.
- The report indicates the acquisition of 36,959 Restricted Stock Units (RSUs) on March 30, 2025, which convert to Class A Common Stock.
- Schwartz also holds various other RSUs with differing vesting schedules and Employee Stock Options to buy Class B Common Stock at prices of $8.73 and $11.36.
- The filing also shows that Schwartz directly owns 22,125 shares of Class A Common Stock.
Sentiment
Score: 6
Explanation: The document is a routine regulatory filing. The acquisition of RSUs is generally a positive sign, indicating confidence in the company's future, but it's a standard part of executive compensation.
Positives
- The acquisition of RSUs suggests continued confidence in Okta's future by a key executive.
- The vesting schedules of the RSUs incentivize long-term commitment from the Chief Legal Officer.
Future Outlook
The vesting schedule of the RSUs extends into the future, contingent on continued employment.
Industry Context
Form 4 filings are standard practice and provide transparency into the trading activities of company insiders, which can be an indicator of management's sentiment towards the company's prospects. This is similar to filings from executives at companies like CrowdStrike or Palo Alto Networks.
Comparison to Industry Standards
- Equity grants to executives are a common practice in the tech industry, used to align management's interests with those of shareholders.
- The vesting schedules described are typical, often spanning several years and contingent on continued employment, similar to equity compensation plans at companies like Salesforce and Workday.
- The size of the RSU grant is likely determined by Okta's compensation policies and the executive's role within the company, and would be benchmarked against similar roles at peer companies.
Stakeholder Impact
- The acquisition of RSUs by a key executive could be viewed positively by shareholders, signaling confidence in the company's future performance.
Key Dates
| Date | Description |
|---|---|
| 03/15/2022 | 6.25% of shares underlying one RSU vested. |
| 06/15/2022 | 6.25% of shares underlying one RSU vested. |
| 06/15/2023 | 8.33% of shares underlying one RSU vested. |
| 06/15/2024 | 8.33% of shares underlying one RSU vested. |
| 06/01/2026 | Expiration date for employee stock options at $8.73. |
| 03/05/2027 | Expiration date for employee stock options at $11.36. |
| 03/30/2025 | Date of earliest transaction: acquisition of 36,959 RSUs. |
| 04/01/2025 | Date of the signature on the Form 4. |
| 06/15/2025 | 8.33% of shares underlying one RSU shall vest. |
Keywords
Okta, Larissa Schwartz, Form 4, Restricted Stock Units, RSU, Class A Common Stock, Chief Legal Officer, Beneficial Ownership, Employee Stock Options
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