Form 4: United Therapeutics' President and COO, Michael Benkowitz, Executes Stock Options and Sells Shares Under 10b5-1 Plan
SEC Form 4
Michael Benkowitz, President and COO of United Therapeutics, exercised stock options and sold shares of common stock on January 21, 2025, according to a Form 4 filing.
Summary
- On January 21, 2025, Michael Benkowitz, the President and COO of United Therapeutics, exercised stock options and sold shares of the company's common stock.
- The transactions were executed under a pre-arranged Rule 10b5-1 trading plan established on August 7, 2024.
- Benkowitz exercised options to acquire 10,000 shares at a price of $111 per share.
- He then sold a total of 7,500 shares directly at prices ranging from $362.7096 to $369.19.
- Additionally, he sold 2,500 shares held in a trust for family members at prices ranging from $362.8816 to $368.0761.
- Following these transactions, Benkowitz directly owns 2,577 shares and indirectly owns shares through trusts.
- He indirectly owns 44,679 stock options through one trust and 17,000 stock options through another trust.
Sentiment
Score: 5
Explanation: This is a neutral disclosure of stock transactions by an executive, with no inherent positive or negative implications for the company's performance.
Industry Context
This Form 4 filing is a routine disclosure of insider transactions, providing transparency to the market regarding the trading activities of company executives. It is common for executives to utilize 10b5-1 trading plans to manage their stock holdings and avoid accusations of insider trading.
Comparison to Industry Standards
- Form 4 filings are standard practice for publicly traded companies and their executives.
- The use of 10b5-1 trading plans is a common strategy among corporate insiders to sell shares in a predetermined manner, mitigating concerns about trading on non-public information.
- Comparable companies such as Amgen, Biogen, and Gilead Sciences also have executives who regularly file Form 4s related to stock option exercises and share sales.
Key Dates
| Date | Description |
|---|---|
| 2021-03-15 | Date stock options became exercisable |
| 2024-08-07 | Date the Rule 10b5-1 trading plan was entered into by the reporting person |
| 2025-01-21 | Date of stock option exercise and share sales |
| 2025-01-22 | Date of Form 4 filing |
| 2028-03-15 | Expiration date of stock options |
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