Carvana CEO has 7,072 shares withheld for taxes
Carvana Co. chief executive Ernest C. Garcia III reported routine equity activity involving Class A common stock.
Rhea-AI Filing Summary
Carvana Co. chief executive Ernest C. Garcia III reported routine equity activity involving Class A common stock. The filing shows 7,072 shares were withheld to cover tax obligations upon the vesting of restricted stock units at $67.87 per share, which is recorded as a tax-withholding disposition rather than an open-market sale.
After this tax withholding, Garcia directly holds 4,596,231 shares of Class A common stock. He also has indirect holdings through the Ernest Irrevocable 2004 Trust III with 1,750,000 shares and the Ernest C. Garcia III Multi-Generational Trust III with 2,250,000 shares, where he serves as investment and co-administrative trustee.
Positive
- None.
Negative
- None.
Insider Trade Summary
Exercise Price or Tax Liability: 7,072 shares
Exercise Price or Tax Liability
3 txns
Insider
GARCIA ERNEST C. III
Role
Chief Executive Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise Price or Tax Liability | Class A Common Stock | 7,072 | $67.87 | $480K |
| holding | Class A Common Stock | -- | -- | -- |
| holding | Class A Common Stock | -- | -- | -- |
Holdings After Transaction:
Class A Common Stock — 4,596,231 shares (Direct);
Class A Common Stock — 2,250,000 shares (Indirect, Ernest C. Garcia III Multi-Generational Trust III);
Class A Common Stock — 1,750,000 shares (Indirect, Ernest Irrevocable 2004 Trust III)
Footnotes (3)
- F1. Represents total number of shares of Class A Common Stock of the Issuer withheld for taxes upon vesting of restricted stock units pursuant to various awards.
- F2. These shares of Class A common stock are held directly by the Ernest C. Garcia III Multi-Generational Trust III (the "Multi-Generational Trust"). The Reporting Person is the Investment Trustee and Co-Administrative Trustee of the Multi-Generational Trust.
- F3. These shares of Class A common stock are held directly by the Ernest Irrevocable 2004 Trust III (the "Irrevocable Trust"). The Reporting Person is the Investment Trustee and Co-Administrative Trustee of the Irrevocable Trust.
Key Figures
Tax-withheld shares: 7,072 shares
Tax-withholding price: $67.87 per share
Direct holdings after transaction: 4,596,231 shares
+3 more
6 metrics
Tax-withheld shares
7,072 shares
Class A common stock withheld for RSU taxes
Tax-withholding price
$67.87 per share
Value used for RSU tax-withholding disposition
Direct holdings after transaction
4,596,231 shares
Carvana Class A common stock held directly by Garcia
Irrevocable Trust holdings
1,750,000 shares
Ernest Irrevocable 2004 Trust III
Multi-Generational Trust holdings
2,250,000 shares
Ernest C. Garcia III Multi-Generational Trust III
Tax-withholding shares (summary)
7,072 shares
TaxWithholdingShares in transaction summary
Key Terms
restricted stock units, tax-withholding disposition, Ernest Irrevocable 2004 Trust III, Ernest C. Garcia III Multi-Generational Trust III
4 terms
restricted stock units financial
"withheld for taxes upon vesting of restricted stock units pursuant to various awards"
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.
tax-withholding disposition financial
"recorded as a tax-withholding disposition rather than an open-market sale"
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.
Ernest Irrevocable 2004 Trust III financial
"held directly by the Ernest Irrevocable 2004 Trust III"
Ernest C. Garcia III Multi-Generational Trust III financial
"held directly by the Ernest C. Garcia III Multi-Generational Trust III"
FAQ
What insider transaction did Carvana (CVNA) report for Ernest C. Garcia III?
Carvana disclosed that Ernest C. Garcia III had 7,072 Class A shares withheld to cover taxes upon vesting of restricted stock units. This was a tax-withholding disposition, not an open-market sale, and reflects routine equity compensation processing.
What are Ernest Garcia III’s direct Carvana (CVNA) holdings after this Form 4?
Following the reported tax-withholding transaction, Ernest C. Garcia III directly holds 4,596,231 shares of Carvana Class A common stock. This figure reflects his direct ownership position after 7,072 shares were withheld to cover RSU-related tax liabilities.
What indirect Carvana (CVNA) holdings does Ernest Garcia III have through trusts?
Ernest C. Garcia III has indirect holdings through two trusts: 1,750,000 Carvana Class A shares in the Ernest Irrevocable 2004 Trust III and 2,250,000 shares in the Ernest C. Garcia III Multi-Generational Trust III, where he serves as investment and co-administrative trustee.
Was the Carvana (CVNA) insider transaction an open-market sale or tax withholding?
The transaction was a tax withholding, not an open-market sale. Carvana reported code F, indicating 7,072 shares were delivered to cover tax liabilities arising from the vesting of restricted stock units awarded to Ernest C. Garcia III.
AI-generated analysis. How Rhea-AI works. Not financial advice.
