Cognizant (CTSH) executive’s RSUs vest as 466 shares withheld for tax
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
COGNIZANT TECHNOLOGY SOLUTIONS CORP executive Rajesh Varrier reported routine equity compensation activity. On June 15, 2026, he acquired Class A common stock through the vesting and conversion of restricted stock units (RSUs), and some shares were withheld to cover taxes.
Footnotes show these shares came from several RSU grants under the 2023 Incentive Award Plan, including 5,991 RSUs originally granted on September 3, 2024, 4,884 RSUs originally granted on the same date under a different vesting schedule, and 2,993 RSUs granted on March 3, 2025. In total, 1,271 shares were acquired through RSU conversions and 466 shares of Class A common stock were withheld at $52.17 per share to pay applicable taxes. The transactions reflect RSU vesting and tax withholding rather than open‑market buying or selling.
Positive
- None.
Negative
- None.
Insider Trade Summary
1,271 shares exercised/converted
Mixed
7 txns
Insider
Varrier Rajesh
Role
President Operations CMD India
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units | 749 | $0.00 | -- |
| Exercise | Restricted Stock Units | 272 | $0.00 | -- |
| Exercise | Restricted Stock Units | 250 | $0.00 | -- |
| Exercise | Class A Common Stock | 749 | $0.00 | -- |
| Exercise | Class A Common Stock | 272 | $0.00 | -- |
| Exercise | Class A Common Stock | 250 | $0.00 | -- |
| Tax Withholding | Class A Common Stock | 466 | $52.17 | $24K |
Holdings After Transaction:
Restricted Stock Units — 749 shares (Direct, null);
Class A Common Stock — 10,072 shares (Direct, null)
Footnotes (1)
- Shares of Class A Common Stock of Cognizant Technology Solutions Corporation (the "Company") received from the vesting of 1/8th of the restricted stock unit ("RSU") award granted on September 3, 2024. Each RSU represents a contingent right to receive one share of the Company's Class A Common Stock. Shares of Class A Common Stock of the Company received from the vesting of 1/3rd of 1/6th of the RSU award granted on September 3, 2024. Shares of Class A Common Stock of the Company received from the vesting of 1/12th of the RSU award granted on March 3, 2025. Shares of the Company's Class A Common Stock withheld to pay applicable taxes. A total of 5,991 RSUs were originally granted on September 3, 2024 under the Company's 2023 Incentive Award Plan and such originally granted amount began vesting in quarterly installments over two years, commencing on December 15, 2024, with 1/8th of such RSUs vesting on each quarterly vesting date so that such RSUs will be fully vested on the eighth quarterly vesting date (September 15, 2026). A total of 4,884 RSUs were originally granted on September 3, 2024 under the Company's 2023 Incentive Award Plan and such originally granted amount began vesting in 10 successive quarterly installments, commencing on December 15, 2024, with (i) 1/6th of such RSUs vesting on each of the first two vesting dates; (ii) 2/3rds of 1/6th of such RSUs vesting on each of the successive four vesting dates; (iii) 1/3rd of 1/6th of such RSUs vesting on each of the successive three vesting dates; and (iv) the remainder of such RSUs vesting on the tenth vesting date (March 15, 2027). A total of 2,993 RSUs were originally granted on March 3, 2025 under the Company's 2023 Incentive Award Plan and such originally granted amount began vesting in quarterly installments over three years, commencing on June 15, 2025, with 1/12th of such RSUs vesting on each quarterly vesting date so that such RSUs will be fully vested on the twelfth quarterly vesting date (March 15, 2028).
Key Figures
Shares acquired via RSU conversion: 1,271 shares
Shares withheld for taxes: 466 shares
Tax withholding price: $52.17 per share
+3 more
6 metrics
Shares acquired via RSU conversion
1,271 shares
Class A common stock from RSU vesting on June 15, 2026
Shares withheld for taxes
466 shares
Class A common stock withheld at $52.17 per share
Tax withholding price
$52.17 per share
Value used for 466 shares withheld to pay taxes
Original RSU grant size
5,991 RSUs
Grant on September 3, 2024 under 2023 Incentive Award Plan
Second RSU grant size
4,884 RSUs
Additional grant on September 3, 2024 with different vesting
Third RSU grant size
2,993 RSUs
Grant on March 3, 2025 vesting over three years
Key Terms
Restricted Stock Units, Each RSU represents a contingent right, 2023 Incentive Award Plan, tax withholding, +1 more
5 terms
Restricted Stock Units financial
"Shares of Class A Common Stock of the Company received from the vesting of 1/8th of the restricted stock unit ("RSU") award granted..."
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.
Each RSU represents a contingent right financial
"Each RSU represents a contingent right to receive one share of the Company's Class A Common Stock."
2023 Incentive Award Plan financial
"A total of 5,991 RSUs were originally granted on September 3, 2024 under the Company's 2023 Incentive Award Plan..."
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.
derivative security financial
"transaction_code_description": "Exercise or conversion of derivative security""
A derivative security is a financial contract whose value comes from the price or performance of something else, such as a stock, bond, commodity, or market index. For investors it acts like an insurance policy or a wager: it can be used to protect against losses, lock in prices, or amplify gains and losses, so it can change a portfolio’s risk and potential return without owning the underlying asset directly.
FAQ
What insider transactions did Cognizant (CTSH) executive Rajesh Varrier report?
Rajesh Varrier reported RSU-based equity transactions. On June 15, 2026, 1,271 shares of Class A common stock were acquired through RSU vesting and conversion, while 466 shares were withheld to cover tax obligations, reflecting routine compensation rather than open-market trades.
Did the Cognizant (CTSH) insider Form 4 show any open-market buying or selling?
No open-market trades were reported. The filing shows RSU exercises and tax withholding only, with code M entries for derivative exercises and a code F entry for shares withheld to pay taxes, rather than discretionary market purchases or sales of Cognizant stock.
What RSU grants underlie Rajesh Varrier’s Cognizant (CTSH) transactions?
The transactions relate to three RSU grants under the 2023 Incentive Award Plan: 5,991 RSUs granted September 3, 2024; 4,884 RSUs also granted September 3, 2024; and 2,993 RSUs granted March 3, 2025, each vesting over multi-year quarterly schedules.
What does the M transaction code mean in the Cognizant (CTSH) Form 4?
In this Form 4, the M code indicates the exercise or conversion of derivative securities, specifically RSUs converting into Class A common stock. Each RSU represents a contingent right to receive one share upon vesting under the company’s 2023 Incentive Award Plan.
Is the Cognizant (CTSH) Form 4 transaction considered a buy, sell, or compensation event?
The activity is a compensation-related event. Shares were acquired through RSU vesting (derivative exercises) and some shares were disposed solely to satisfy tax obligations. No open-market buy or sell decisions are disclosed, making this largely routine equity compensation administration.