Form 4: SoundHound AI COO Sells Shares to Cover Tax Obligations

SoundHound AI's Chief Operating Officer, Michael Zagorsek, sold 60,796 shares of Class A Common Stock to cover tax obligations related to vesting restricted stock units.

Summary

• Michael Zagorsek, the Chief Operating Officer of SoundHound AI, sold 60,796 shares of Class A Common Stock on December 20, 2024.
• The sale was executed at a price of $20.3042 per share.
• This transaction was made to satisfy tax withholding obligations associated with the vesting of restricted stock units.
• The restricted stock units were granted on August 4, 2022, September 7, 2022, August 3, 2023 and August 1, 2024.
• Following the transaction, Zagorsek directly owns 1,412,526 shares of Class A Common Stock.

Sentiment

Score: 5

Explanation: The document reflects a routine transaction for tax purposes, not indicative of positive or negative sentiment towards the company's performance.

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 sales by executives at other firms.
• The sale by Michael Zagorsek is consistent with standard practices for executives managing their equity compensation.

Stakeholder Impact

• The sale of shares by an executive may have a minor impact on shareholder sentiment, but is generally considered a normal part of executive compensation.

Key Dates

Keywords

SoundHound AI, insider trading, stock sale, Form 4, restricted stock units, tax obligations, Michael Zagorsek, Class A Common Stock