Arlo Technologies Insider Sale: CEO Cuts Stake by 20 %, Nets $6 M

Rhea-AI Filing Summary

Arlo Technologies, Inc. (ARLO) – Form 4 insider transaction

CEO and Director Matthew Blake McRae disclosed two open-market sales of Arlo common stock executed under a Rule 10b5-1 trading plan adopted on 14 Mar 2025:

• 25 Jun 2025: 243,302 shares sold at a weighted-average price of $16.8651 (price range $16.65–$17.07).
• 26 Jun 2025: 113,322 shares sold at a weighted-average price of $17.2158 (price range $16.77–$17.50).

The combined disposition of 356,624 shares yielded proceeds of roughly $6.0 million. Following the transactions, McRae’s direct beneficial ownership decreased from approximately 1.80 million shares to 1,439,735 shares, a reduction of about 20 %, yet he remains a significant shareholder.

No derivative securities were reported, and there were no acquisitions. Because the sales were pre-scheduled under a 10b5-1 plan, they are presumed compliant with insider-trading regulations, though investors often monitor sizable executive dispositions for sentiment signals. The filing carries no direct information on Arlo’s fundamentals, operations, or earnings.

Positive

• Sales executed under a pre-arranged Rule 10b5-1 trading plan, reducing regulatory and information-asymmetry concerns.
• CEO retains a sizable 1.44 million-share position, maintaining alignment with shareholder interests.

Negative

• CEO reduced his direct holdings by about 20 % (356,624 shares), which can be interpreted as diminished confidence or portfolio diversification.
• Aggregate sale value of roughly $6 million adds meaningful insider supply that could pressure the stock.

Insights

Corporate Governance Expert

TL;DR: CEO’s $6 M share sale under 10b5-1 plan signals liquidity move, not necessarily a shift in corporate outlook.

The disclosure shows adherence to best-practice governance: McRae adopted a Rule 10b5-1 plan three months prior, insulating the trades from material-non-public information concerns. The remaining 1.44 million-share stake aligns management with shareholders, mitigating fears of complete disengagement. While the ~20 % reduction is notable, it is within ordinary diversification ranges and does not in itself imply negative fundamentals. Absence of derivative activity or complex structures simplifies risk interpretation. Overall, I classify the event as governance-neutral.

Portfolio Manager

TL;DR: Large insider sale (~20 % stake) may pressure sentiment despite 10b5-1 shield.

McRae liquidated 356,624 shares at an average of ~$17, collecting about $6 M. Although pre-planned, the volume equals roughly 0.9 % of Arlo’s 40 M share float and can weigh on short-term supply/demand, especially given recent price ranges in the mid-teens. Investors may view executive selling as a soft bearish signal unless offset by positive catalysts. Without complementary insider buys or operational updates, the trade skews modestly negative for near-term momentum.

SEC Form 4

FORM 4

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

OMB APPROVAL

OMB Number:			3235-0287
Estimated average burden
hours per response:			0.5

Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

X

Check this box to indicate that a transaction was made pursuant to a contract, instruction or written plan for the purchase or sale of equity securities of the issuer that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c). See Instruction 10.

1. Name and Address of Reporting Person^*

MCRAE MATTHEW BLAKE

(Last) (First) (Middle)

5770 FLEET STREET

(Street)

CARLSBAD CA 92008

(City) (State) (Zip)

2. Issuer Name and Ticker or Trading Symbol
Arlo Technologies, Inc. [ ARLO ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

X	Director		10% Owner
X	Officer (give title below)		Other (specify below)
	CEO

3. Date of Earliest Transaction (Month/Day/Year)
06/25/2025

4. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
			Code	V	Amount	(A) or (D)	Price
Common Stock	06/25/2025		S(1)		243,302	D	$16.8651(2)	1,553,057	D
Common Stock	06/26/2025		S(1)		113,322	D	$17.2158(3)	1,439,735	D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares

Explanation of Responses:

1. The sales reported in this Form 4 was effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on March 14, 2025.

2. The weighted average sale price for the transaction reported was $16.8651, and the range of prices were between $16.65 and $17.07. Upon request by the SEC staff, the Issuer, or any security holder of the Issuer, full information regarding the number of shares sold at each separate price will be provided.

3. The weighted average sale price for the transaction reported was $17.2158, and the range of prices were between $16.77 and $17.50. Upon request by the SEC staff, the Issuer, or any security holder of the Issuer, full information regarding the number of shares sold at each separate price will be provided.

	/s/ Brian Busse, Attorney-in-Fact	06/27/2025
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.

FAQ

How many ARLO shares did CEO Matthew McRae sell in June 2025?

He sold 356,624 shares over two days (25-26 Jun 2025).

What was the average selling price for the ARLO insider transactions?

Weighted-average prices were $16.8651 on 25 Jun and $17.2158 on 26 Jun 2025.

Does the Form 4 indicate these were 10b5-1 trades?

Yes. The filing states the sales were made under a Rule 10b5-1 plan adopted on 14 Mar 2025.

How many ARLO shares does the CEO still own after the sale?

McRae now directly holds 1,439,735 shares of Arlo common stock.

Is there any information about derivative securities in this Form 4?

No derivative securities were reported as acquired or disposed of in this filing.