Form 4: Synopsys CFO Sells Shares After Option Exercise
Insider Transaction Report
Synopsys CFO Shelagh Glaser reported the exercise of stock options and subsequent sale of common stock totaling 3,657 shares under a Rule 10b5-1 plan.
Summary
- Shelagh Glaser, the Chief Financial Officer (CFO) of Synopsys Inc. (SNPS), reported transactions on December 19, 2025.
- The transactions involved the exercise of non-qualified stock options and the subsequent sale of an equal number of common stock shares.
- A total of 3,657 shares were acquired through option exercises and then immediately sold.
- These transactions were executed pursuant to a Rule 10b5-1 trading plan that was adopted on January 13, 2025.
- Following these reported transactions, direct beneficial ownership of non-derivative common stock is 17,842 shares.
- Remaining derivative securities include 10,448 non-qualified stock options with an exercise price of $348.17 and 5,365 non-qualified stock options with an exercise price of $354.45.
Sentiment
Score: 6
Explanation: Neutral to slightly positive. The transactions represent a routine exercise of options and subsequent sale of shares, likely for diversification or liquidity, rather than a bearish signal, especially given the pre-arranged Rule 10b5-1 plan.
Positives
- The exercise of stock options indicates that the insider realized value from previously granted equity compensation.
- The sale of shares at a market price of $460.77, which is higher than the exercise prices of $354.45 and $348.17, resulted in a profit for the CFO.
Negatives
- Insider selling, even when conducted under a pre-arranged Rule 10b5-1 plan, can sometimes be interpreted by the market as a lack of confidence, although in this context, it appears to be a routine liquidity event.
Future Outlook
This Form 4 filing does not contain any forward-looking statements or guidance regarding the company's future outlook.
Industry Context
This filing is a routine disclosure of insider trading activity and does not provide information directly related to broader industry trends or competitive landscape.
Related Party Transactions
- Shelagh Glaser, CFO, engaged in transactions involving the exercise of stock options and subsequent sale of common stock, which are reported as insider dealings.
Stakeholder Impact
- Shareholders: Provides transparency regarding insider equity transactions, which can inform investment decisions and market sentiment.
Next Steps
- The remaining non-qualified stock options will continue to vest in a series of 12 equal quarterly installments, subject to continued service through each vesting date.
Key Dates
| Date | Description |
|---|---|
| 12/02/2023 | Date 1/4 of a non-qualified stock option grant became exercisable, with the remainder vesting in 12 equal quarterly installments thereafter. |
| 02/17/2024 | Date 1/4 of a non-qualified stock option grant became exercisable, with the remainder vesting in 12 equal quarterly installments thereafter. |
| 01/13/2025 | Date the Rule 10b5-1 trading plan was adopted. |
| 12/19/2025 | Date of the reported stock option exercises and subsequent sales of common stock. |
| 12/22/2025 | Date the Form 4 was signed by the reporting person's Power of Attorney. |
| 12/02/2029 | Expiration date for 10,448 non-qualified stock options with an exercise price of $348.17. |
| 02/17/2030 | Expiration date for 5,365 non-qualified stock options with an exercise price of $354.45. |
Recommendation
holdThe filing details routine insider transactions by Synopsys' CFO, Shelagh Glaser, involving the exercise of stock options and subsequent sale of shares under a pre-arranged Rule 10b5-1 trading plan. Such transactions are typically for personal financial planning, diversification, or liquidity and do not inherently signal a change in the company's fundamental outlook or warrant a shift from a 'hold' recommendation based solely on this filing.
Keywords
Synopsys, SNPS, Form 4, Insider Trading, Stock Options, Shelagh Glaser, CFO, 10b5-1 Plan, Equity Sales
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