Form 4: Snowflake Executive Sells Shares and Exercises Options Under 10b5-1 Plan

A Snowflake Inc. executive, Benoit Dageville, executed multiple transactions involving the sale of Class A Common Stock and the exercise of stock options, all under a pre-arranged 10b5-1 trading plan.

Summary

• Benoit Dageville, President of Products at Snowflake Inc., engaged in several transactions involving the company's Class A Common Stock.
• On November 21, 2024, Dageville exercised stock options to acquire 68,750 shares at $0.74 per share and then sold the same amount of shares at $161.50 per share.
• On November 22, 2024, Dageville again exercised stock options to acquire 68,750 shares at $0.74 per share and then sold the same amount of shares at $175 per share.
• Additionally, on November 22, 2024, Dageville gifted 20,625 shares.
• These transactions were conducted under a 10b5-1 trading plan adopted on March 29, 2024.
• Following these transactions, Dageville directly owns 53,250 shares and indirectly owns 4,889,580 shares through a trust.

Sentiment

Score: 5

Explanation: The document reflects routine insider transactions under a pre-arranged plan, which is neither positive nor negative for the company's outlook.

Risks

• Executive stock sales can sometimes be perceived negatively by the market, potentially impacting the stock price.

Industry Context

Executive stock transactions are a common occurrence in publicly traded companies, and these transactions are often pre-planned under 10b5-1 trading plans to avoid accusations of insider trading. This filing is a routine disclosure of such activity.

Comparison to Industry Standards

• The use of 10b5-1 trading plans is a standard practice among executives at publicly traded companies, including those in the technology sector like Snowflake.
• Similar filings are regularly made by executives at companies like Amazon, Microsoft, and Google, when they exercise options or sell shares.
• The prices at which the shares were sold are reflective of the current market valuation of Snowflake stock at the time of the transactions.

Stakeholder Impact

• The transactions may have a minor impact on the stock price, but are unlikely to significantly affect other stakeholders.

Key Dates

Keywords

Snowflake, stock options, insider trading, 10b5-1 plan, executive, share sale, Benoit Dageville, SNOW