Form 4: Salesforce Executive Sundeep Reddy Reports Routine Stock Transactions Following RSU Vesting

Salesforce's EVP & Chief Accounting Officer, Sundeep G. Reddy, reported the acquisition of shares from restricted stock unit vesting and subsequent sales to cover tax obligations.

Summary

• Sundeep G. Reddy, EVP & Chief Accounting Officer of Salesforce, Inc. (CRM), reported transactions involving company common stock.
• On June 22, 2025, Mr. Reddy acquired 143 shares of common stock and 431 shares of common stock through the conversion of Restricted Stock Units (RSUs) at an exercise price of $0.
• Following these acquisitions, Mr. Reddy's direct beneficial ownership increased to 11,854 shares and then to 12,285 shares.
• On June 23, 2025, Mr. Reddy sold 65 shares and 196 shares of common stock, totaling 261 shares, at a price of $262.3478 per share.
• These sales were conducted to satisfy tax withholding obligations related to the settlement of the vested restricted stock unit awards.
• After these transactions, Mr. Reddy's direct beneficial ownership of common stock stands at 12,024 shares.
• The Restricted Stock Units convert to shares of common stock on a one-for-one basis.

Sentiment

Score: 6

Explanation: The sentiment is neutral to slightly positive. While there's a sale of shares, it's explicitly for tax purposes related to RSU vesting, which is a positive event for the executive. It's a routine transaction and not indicative of negative sentiment towards the company.

Positives

• The vesting of Restricted Stock Units indicates the executive's continued employment and the realization of equity compensation, aligning management's interests with shareholders.
• The acquisition of 574 shares (143 + 431) through RSU conversion demonstrates the executive's ongoing participation in the company's equity program.

Negatives

• The sale of 261 shares, while for tax purposes, reduces the executive's direct beneficial ownership in the company.

Future Outlook

The document indicates future vesting schedules for Restricted Stock Units on a quarterly basis following initial vesting dates of March 22, 2023, and March 22, 2025, with expiration dates in March 2026 and March 2028, respectively.

Industry Context

This Form 4 filing details a routine insider transaction, common across publicly traded companies, where executives receive equity compensation (RSUs) and sell a portion to cover tax liabilities upon vesting. It does not provide broader industry trends or competitive insights.

Stakeholder Impact

• Shareholders: The transaction is a routine insider compensation event and tax-related sale, unlikely to have a significant direct impact on the broader shareholder base.
• Employees: The vesting of RSUs reinforces the company's equity compensation structure, which can be a positive for employee retention and motivation.

Next Steps

• Continued quarterly vesting of Restricted Stock Units as per the established schedules (1/16 of original grant quarterly after March 22, 2023, and March 22, 2025).

Key Dates

Keywords

Salesforce, CRM, Insider Trading, Form 4, Executive Compensation, Restricted Stock Units, Stock Sale, Tax Withholding