Form 4: SoundHound AI CFO Sells Shares to Cover Tax Obligations
SEC Form 4
SoundHound AI's Chief Financial Officer, Nitesh Sharan, sold 57,761 shares of Class A Common Stock to cover tax obligations related to vesting restricted stock units.
Summary
- Nitesh Sharan, the Chief Financial Officer of SoundHound AI, sold 57,761 shares of Class A Common Stock on December 20, 2024.
- The shares were sold at a price of $20.3042 per share.
- This transaction was made to satisfy tax withholding obligations related to the vesting of restricted stock units.
- The restricted stock units were granted on July 20, 2022, September 7, 2022, August 3, 2023 and August 1, 2024.
- Following the transaction, Sharan beneficially owns 1,502,650 shares of Class A Common Stock.
Sentiment
Score: 5
Explanation: The document reflects a routine transaction related to executive compensation and does not indicate any positive or negative sentiment.
Industry Context
This is a routine transaction for executives who receive stock-based compensation. It is common for executives to sell shares to cover tax obligations when restricted stock units vest.
Comparison to Industry Standards
- Executive stock sales to cover tax obligations are a common practice across the technology industry.
- Many companies use restricted stock units as part of their compensation packages, leading to similar transactions by executives at other firms.
- The volume of shares sold is not unusual for a CFO of a company of SoundHound AI's size.
Stakeholder Impact
- The transaction has a minimal impact on shareholders as it is a routine sale to cover tax obligations.
Key Dates
| Date | Description |
|---|---|
| 2022-07-20 | Date of one of the restricted stock unit grants. |
| 2022-09-07 | Date of one of the restricted stock unit grants. |
| 2023-08-03 | Date of one of the restricted stock unit grants. |
| 2024-08-01 | Date of one of the restricted stock unit grants. |
| 2024-12-20 | Date of the stock sale transaction. |
| 2024-12-26 | Date of the filing of the form. |
Keywords
SoundHound AI, Nitesh Sharan, insider trading, stock sale, tax obligations, restricted stock units, Class A Common Stock, executive compensation
Disclaimer:The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.