Cognizant director reports RSU grant and vesting
Cognizant Technology Solutions director Abraham Schot reported routine equity compensation activity and related tax withholding.
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Form Type
4
Rhea-AI Filing Summary
Cognizant Technology Solutions director Abraham Schot reported routine equity compensation activity and related tax withholding. On June 2, 2026, he received a grant of 4,171 restricted stock units (RSUs), which will vest fully on June 2, 2027. On June 3, 2026, 2,863 RSUs granted on June 3, 2025, plus additional RSUs from dividend equivalent rights, vested into 2,919 shares of Class A Common Stock. Of these shares, 29 were withheld to pay applicable taxes, and a small fractional RSU of 0.6262 was canceled with cash paid in lieu of the fractional share. Following these transactions, Schot directly holds 14,623 shares of Class A Common Stock.
Insider Trade Summary
2,919 shares exercised/converted
Exercise
5 txns
Insider
Schot Abraham
Role
Director
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units | 2,919 | $0.00 | $0.00 |
| Disposition | Restricted Stock Units | 0.6262 | $55.14 | $34.53 |
| Exercise | Class A Common Stock | 2,919 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Class A Common Stock | 29 | $55.14 | $2K |
| Grant/Award | Restricted Stock Units | 4,171 | $0.00 | $0.00 |
Holdings After Transaction:
Restricted Stock Units — 4,171 contracts (Direct);
Class A Common Stock — 14,623 shares (Direct)
Footnotes (6)
- F1. Shares of Class A Common Stock of Cognizant Technology Solutions Corporation (the "Company") received in connection with the vesting of 100% of the restricted stock unit ("RSU") award granted on June 3, 2025, and the related RSUs received pursuant to dividend equivalent rights; provided, however, that the reporting person was only entitled to receive whole shares and the fractional share related thereto was disposed of separately.
- F2. Each RSU represents a contingent right to receive one share of the Company's Class A Common Stock.
- F3. Shares of the Company's Class A Common Stock withheld to pay applicable taxes.
- F4. The RSUs will vest fully on June 2, 2027.
- F5. 2,863 of the RSUs were originally granted on June 3, 2025, under the Company's 2023 Incentive Award Plan (the "Plan") and subsequent RSUs were granted pursuant to dividend equivalent rights. The original RSUs and the related RSUs received pursuant to dividend equivalent rights vested fully on June 3, 2026.
- F6. Represents the payment of cash in lieu of a fractional share related to the RSUs described above in accordance with the Plan and the cancellation of the corresponding fractional RSU.
Key Figures
New RSU grant: 4,171 RSUs
New RSU vesting date: June 2, 2027
RSUs vested into shares: 2,919 shares
+5 more
8 metrics
New RSU grant
4,171 RSUs
Granted on June 2, 2026; each RSU equals one Class A share
New RSU vesting date
June 2, 2027
Vesting date for 4,171 RSUs granted June 2, 2026
RSUs vested into shares
2,919 shares
Class A Common Stock from 2025 RSU award and dividend equivalents vesting June 3, 2026
Original 2025 RSU component
2,863 RSUs
RSUs granted June 3, 2025 under the 2023 Incentive Award Plan
Shares withheld for taxes
29 shares
Class A Common Stock withheld to pay applicable taxes on RSU vesting
Fractional RSU canceled
0.6262 RSUs
Fractional RSU canceled with cash paid in lieu of fractional share
Share price reference
$55.14 per share
Price used for tax withholding and fractional share calculations
Shares held after transactions
14,623 shares
Director’s direct Class A Common Stock holdings following reported activity
Key Terms
Restricted Stock Units, RSU, dividend equivalent rights, tax withholding, +1 more
5 terms
Restricted Stock Units financial
"Shares of Class A Common Stock of Cognizant Technology Solutions Corporation received in connection with the vesting of the restricted stock unit award"
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.
RSU financial
"Each RSU represents a contingent right to receive one share of the Company's Class A Common Stock."
Restricted stock units (RSUs) are a form of company shares given to employees as part of their compensation, usually with certain restrictions or conditions, such as remaining with the company for a set period. When these restrictions lift, employees receive actual shares that they can sell or hold. For investors, RSUs can impact a company's stock supply and reflect the company's commitment to attracting and retaining talent.
dividend equivalent rights financial
"and the related RSUs received pursuant to dividend equivalent rights; provided, however, that the reporting person was only entitled to receive whole shares"
Dividend equivalent rights are promises that mirror the cash payments shareholders get from a company’s profits, but they are paid to holders of certain awards (like stock options or restricted stock units) rather than to actual shares. Think of them as a paycheck top‑up that matches dividends while the award is not yet a real stock, and they matter to investors because they add to employee compensation costs and potential share dilution, affecting company profitability and per‑share value.
tax withholding financial
"Shares of the Company's Class A Common Stock withheld to pay applicable taxes."
Tax withholding is the practice of taking a portion of a payment—such as wages, dividends, or sale proceeds—before it reaches the recipient and sending that portion to the tax authority as an advance on the recipient’s eventual tax bill. For investors it matters because withholding reduces immediate cash received and affects after‑tax returns, estimated tax payments, and whether you may owe more or receive a refund when taxes are finally calculated, like having a small automatic savings set aside for your tax bill.
disposition to issuer financial
"Represents the payment of cash in lieu of a fractional share related to the RSUs described above in accordance with the Plan and the cancellation of the corresponding fractional RSU."
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What insider transactions did CTSH director Abraham Schot report on this Form 4?
Director Abraham Schot reported RSU-related activity, including a new grant of 4,171 restricted stock units, vesting of prior RSUs into 2,919 shares of Class A Common Stock, tax withholding of 29 shares, and cancellation of a small fractional RSU position.
How many Cognizant (CTSH) restricted stock units were granted to Abraham Schot?
Abraham Schot received a grant of 4,171 restricted stock units. Each RSU represents a contingent right to receive one share of Class A Common Stock, and these RSUs are scheduled to vest fully on June 2, 2027, under Cognizant’s 2023 Incentive Award Plan.
When do Abraham Schot’s new CTSH restricted stock units vest?
The new RSU grant vests fully on June 2, 2027. Until that vesting date, the units are contingent rights to receive Class A Common Stock, aligning the director’s compensation with long-term shareholder interests through time-based equity vesting.
What happened when Abraham Schot’s prior CTSH RSUs vested on June 3, 2026?
On June 3, 2026, 2,863 RSUs granted in 2025 plus additional RSUs from dividend equivalent rights vested into 2,919 shares. A fractional RSU of 0.6262 was canceled, with cash paid in lieu of the fractional share, consistent with the company’s incentive plan.
AI-generated analysis. How Rhea-AI works. Not financial advice.
