Form 4: Rapid7 CEO Corey E. Thomas Reports Share Transactions
SEC Form 4 Filing
CEO Corey E. Thomas reports disposition of shares to cover tax obligations and acquisitions through an employee stock purchase plan.
Summary
- Corey E. Thomas, CEO of Rapid7, Inc., filed a Form 4 detailing changes in beneficial ownership.
- On May 15, 2025, 12,963 shares of common stock were disposed of to cover tax withholding obligations at a price of $23.55 per share.
- Thomas also reported owning 606,306 shares directly, 218,748 shares indirectly through Thomas Family Holdings LLC, and 30,000 shares indirectly through a trust.
- Additionally, 557 shares were acquired under the Rapid7, Inc. 2015 Employee Stock Purchase Plan on March 14, 2025.
Sentiment
Score: 6
Explanation: The sentiment is neutral. The filing reflects routine transactions related to executive compensation and tax obligations, with no indication of significant positive or negative developments.
Positives
- The CEO's participation in the Employee Stock Purchase Plan indicates confidence in the company's future.
- The CEO directly owns a significant number of shares.
Negatives
- The disposition of shares to cover tax obligations could be perceived negatively, although it's a common practice.
Industry Context
Form 4 filings are standard practice for reporting changes in beneficial ownership by company insiders, providing transparency to investors.
Comparison to Industry Standards
- Form 4 filings are a standard regulatory requirement for publicly traded companies, ensuring transparency in insider trading activities.
- Similar filings are common among executives at comparable cybersecurity firms, such as CrowdStrike, Palo Alto Networks, and Okta, when they engage in transactions involving their company's stock.
Stakeholder Impact
- The transactions have a minimal direct impact on stakeholders, as they are related to standard executive compensation practices.
Key Dates
| Date | Description |
|---|---|
| February 2, 2021 | Date of a previous grant of restricted stock units to the Reporting Person. |
| February 15, 2022 | Date of a previous grant of restricted stock units to the Reporting Person. |
| February 15, 2023 | Date of a previous grant of restricted stock units to the Reporting Person. |
| February 15, 2024 | Date of a previous grant of restricted stock units to the Reporting Person. |
| February 14, 2025 | Date of a previous grant of restricted stock units to the Reporting Person. |
| March 14, 2025 | Date of acquisition of shares under the Rapid7, Inc. 2015 Employee Stock Purchase Plan. |
| May 15, 2025 | Date of the transaction involving the disposition of shares for tax obligations. |
| May 19, 2025 | Date of signature on the Form 4 filing. |
Keywords
Form 4, Rapid7, CEO, Corey E. Thomas, Beneficial Ownership, Share Transactions, Employee Stock Purchase Plan, Tax Withholding
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