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

PagerDuty's CFO, Howard Wilson, sold 21,066 shares of common stock on November 7, 2024, under a pre-arranged 10b5-1 trading plan.

Summary

• Howard Wilson, the Chief Financial Officer of PagerDuty, Inc., sold 21,066 shares of common stock on November 7, 2024.
• The sales were executed under a 10b5-1 trading plan adopted on April 10, 2024.
• The shares were sold at a weighted average price of $20.02, with individual transactions ranging from $20.00 to $20.11 per share.
• Following the transaction, Wilson directly owns 545,742 shares and indirectly owns 50 shares through his spouse.
• A portion of the directly owned shares represents restricted stock units.

Sentiment

Score: 5

Explanation: The sentiment is neutral as the filing simply reports a stock sale under a pre-arranged trading plan. It doesn't inherently indicate positive or negative sentiment about the company's prospects.

Industry Context

Sales by company insiders are common and often pre-planned using 10b5-1 trading plans to avoid accusations of insider trading. The market typically views these sales in the context of the overall financial health and future prospects of the company.

Comparison to Industry Standards

• It is common for executives at publicly traded companies, such as Atlassian, Datadog, and ServiceNow, to utilize 10b5-1 trading plans to sell shares of their company's stock.
• These plans allow insiders to sell shares at predetermined times and prices, helping to avoid concerns about insider trading.
• The volume and frequency of these sales can vary widely depending on the individual's financial planning and the company's performance.

Stakeholder Impact

• The sale of shares by a company executive could be perceived negatively by some shareholders, although the existence of a 10b5-1 plan mitigates this concern.

Key Dates