Form 4: PagerDuty CFO Howard Wilson Sells 600 Shares Under 10b5-1 Plan

PagerDuty's Chief Financial Officer, Howard Wilson, sold 600 shares of common stock at $20 per share on January 28, 2025, as part of a pre-arranged 10b5-1 trading plan.

Summary

• Howard Wilson, the Chief Financial Officer of PagerDuty, Inc., executed a sale of 600 shares of the company's common stock on January 28, 2025.
• The sale was conducted at a price of $20 per share.
• This transaction was part of a pre-established 10b5-1 trading plan adopted by Mr. Wilson on April 10, 2024.
• Following the transaction, Mr. Wilson directly owns 602,726 shares of PagerDuty common stock.
• Additionally, Mr. Wilson indirectly owns 50 shares through his spouse.

Sentiment

Score: 5

Explanation: The document reflects a routine transaction under a pre-arranged plan, which is neither particularly positive nor negative.

Positives

• The sale was conducted under a pre-arranged 10b5-1 trading plan, which is a common practice for executives to avoid accusations of insider trading.
• The disclosure of the transaction is transparent and in compliance with SEC regulations.

Risks

• Executive stock sales can sometimes be perceived negatively by the market, although this sale was pre-planned.
• There is a risk that further sales by insiders could put downward pressure on the stock price.

Industry Context

Executive stock sales are a common occurrence in publicly traded companies, and the use of 10b5-1 plans is a standard practice to ensure compliance with insider trading regulations. This transaction is not unusual for a company like PagerDuty.

Comparison to Industry Standards

• The use of a 10b5-1 trading plan is a common practice among executives at publicly traded companies, including those in the technology sector like PagerDuty.
• Companies such as Atlassian and Datadog also have executives who utilize 10b5-1 plans for stock transactions.
• The size of the transaction, 600 shares, is relatively small compared to some insider sales, which can involve tens of thousands or even millions of shares.

Stakeholder Impact

• The sale of shares by a key executive could have a minor impact on shareholder sentiment, but the pre-planned nature of the transaction mitigates this concern.

Key Dates

Keywords

PagerDuty, Howard Wilson, CFO, stock sale, 10b5-1 plan, insider trading, SEC Form 4, executive compensation