Allegro MicroSystems (NASDAQ: ALGM) CFO uses 37,840 shares to cover vesting taxes
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
ALLEGRO MICROSYSTEMS, INC. EVP, CFO & Treasurer Derek D'Antilio reported a tax-related share disposition. On the reported date, 37,840 shares of common stock were withheld at $43.10 per share to cover taxes due upon the vesting of previously granted restricted stock units and performance-vesting restricted stock units.
After this tax-withholding disposition, D'Antilio directly held 238,813 shares of Allegro common stock. This event reflects a routine administrative tax payment tied to equity compensation vesting rather than an open-market purchase or sale.
Positive
- None.
Negative
- None.
Insider Trade Summary
1 transaction reported
Mixed
1 txn
Insider
D'Antilio Derek
Role
EVP, CFO & Treasurer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Tax Withholding | Common Stock | 37,840 | $43.10 | $1.63M |
Holdings After Transaction:
Common Stock — 238,813 shares (Direct, null)
Footnotes (1)
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Key Figures
Tax-withheld shares: 37,840 shares
Share value for withholding: $43.10 per share
Shares held after transaction: 238,813 shares
+2 more
5 metrics
Tax-withheld shares
37,840 shares
Shares withheld to cover taxes on RSU and performance RSU vesting
Share value for withholding
$43.10 per share
Valuation used for the tax-withholding disposition
Shares held after transaction
238,813 shares
Direct common stock holdings following the tax-withholding event
Transaction code
F
Payment of tax liability by delivering securities
Transaction direction
Dispose
Classified as a tax-withholding disposition, not an open-market sale
Key Terms
restricted stock units, performance-vesting restricted stock units, tax-withholding disposition, Form 4, +1 more
5 terms
restricted stock units financial
"Represents shares withheld to cover taxes due upon the vesting of restricted stock units"
Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.
performance-vesting restricted stock units financial
"and performance-vesting restricted stock units that were previously granted by the Issuer"
Performance-vesting restricted stock units are a form of employee pay where future company shares are granted only if the business meets specific targets, such as revenue, profit, or stock-price goals. Think of them as a bonus you earn only when certain milestones are hit; for investors they matter because they can increase the number of shares outstanding if goals are met and they reveal how management is being motivated to hit particular financial or operational objectives.
tax-withholding disposition financial
"transaction_action: "tax-withholding disposition" for the Form 4 entry"
A tax-withholding disposition is an event or transaction—such as selling or transferring securities, exercising options, or receiving compensation—that triggers a requirement to hold back part of the payment and remit it to tax authorities. It matters to investors because it reduces the cash they receive immediately and can change the timing and amount of taxable income, like a cashier taking a portion of your sale proceeds to pay taxes before you get the rest.
Form 4 regulatory
"INSIDER FILING DATA (Form 4): details the non-derivative tax-withholding transaction"
Form 4 is a official document that company insiders, such as executives or major shareholders, file with regulators whenever they buy or sell company shares. It provides transparency about how those with inside knowledge are trading, helping investors see if insiders are confident in the company's prospects or may be selling for personal reasons. This information can influence investor decisions by revealing insiders' perspectives on the company's value.
Common Stock financial
"security_title: "Common Stock" for the reported Allegro MicroSystems shares"
Common stock represents ownership shares in a company, giving investors a stake in its success and a say in important decisions through voting rights. It is the most common type of stock traded on markets and can provide income through dividends, as well as potential for value growth. For investors, holding common stock means sharing in the company’s profits and risks.
FAQ
What insider transaction did ALGM executive Derek D'Antilio report on this Form 4?
Derek D'Antilio reported a tax-withholding disposition of Allegro MicroSystems common stock. The company withheld 37,840 shares to satisfy taxes due upon the vesting of previously granted restricted stock units and performance-vesting restricted stock units.
Was Derek D'Antilio’s ALGM Form 4 transaction an open-market sale?
No, the Form 4 describes a tax-withholding disposition, not an open-market sale. Shares were withheld by the issuer to cover taxes triggered by the vesting of restricted stock units and performance-vesting restricted stock units previously granted.