Form 4: Sprout Social Executive Chair Justyn R. Howard Reports Stock Transactions

Justyn R. Howard, Executive Chair of Sprout Social, Inc., reports the acquisition and disposition of Class A Common Stock under a pre-arranged 10b5-1 trading plan.

Summary

• On May 6, 2025, Justyn R. Howard, the Executive Chair of Sprout Social, Inc., engaged in transactions involving the company's Class A Common Stock.
• Howard acquired 40,000 shares of Class A Common Stock at $0 and disposed of 40,000 shares at a weighted average price of $20.814.
• These transactions were executed under a pre-arranged 10b5-1 trading plan adopted on September 10, 2024.
• Following these transactions, Howard directly owns 317,663 shares of Class A Common Stock and indirectly owns 7,417 shares of Class A Common Stock and 1,126,190 shares of Class B Common Stock through various trusts.
• The reported price in Column 4 is a weighted average price, with shares sold in multiple transactions at prices ranging from $20.37 to $21.12 per share, inclusive.
• The total reported in Column 5 includes 24,616 reported restricted stock units ('RSUs') which vest in 4 equal quarterly installments beginning on June 1, 2025; (2) 56,884 reported RSUs of which vest in 8 equal quarterly installments beginning on June 1, 2025; (3) 89,043 reported RSUs which vest in 12 equal quarterly installments beginning on June 1, 2025; and (4) 109,489 reported RSUs of which 25% will vest on March 1, 2026 with the remaining RSUs vesting in 12 equal quarterly installments beginning on June 1, 2026.

Sentiment

Score: 5

Explanation: The document is a standard regulatory filing detailing stock transactions. It doesn't inherently convey positive or negative sentiment, but rather provides factual information.

Industry Context

This filing is a routine disclosure of stock transactions by a company executive, which is common in publicly traded companies. It provides transparency into the trading activities of insiders and helps investors assess management's perspective on the company's value.

Comparison to Industry Standards

• Form 4 filings are standard practice for publicly traded companies and their insiders, ensuring compliance with SEC regulations.
• The use of a 10b5-1 trading plan is a common strategy for corporate insiders to avoid accusations of insider trading, allowing them to sell shares at predetermined times and prices.

Stakeholder Impact

• The stock transactions may have a minor impact on shareholders, as they provide insight into the Executive Chair's trading activity.
• The transactions are unlikely to significantly impact employees, customers, suppliers, or creditors.

Key Dates

Keywords

Form 4, Sprout Social, Justyn R. Howard, Stock Transactions, 10b5-1 Plan, Class A Common Stock, Class B Common Stock, Executive Chair, Beneficial Ownership, Securities Exchange Act