Datadog (DDOG) Form 4 Details: 18,113 Shares Sold by General Counsel
Rhea-AI Filing Summary
Kerry Acocella, General Counsel and Secretary of Datadog, Inc. (DDOG), reported sales of Class A common stock in two transactions. On 08/29/2025 she sold 12,971 shares at a weighted-average price of $139.96, reducing her reported holdings to 102,519 shares. On 09/02/2025 she sold 5,142 shares at a weighted-average price of $133.8475 (individual sale prices ranged $132.92 to $133.85), leaving 97,377 shares beneficially owned. The 08/29/2025 sales were made pursuant to a 10b5-1 plan modified on May 30, 2025; the 09/02/2025 sale was required by the issuer to cover tax withholding on vested RSUs and PSUs plus brokerage fees. The form is signed and dated 09/03/2025.
Positive
- Transaction transparency: Form 4 discloses exact share counts, prices, and remaining beneficial ownership after each sale
- Use of a 10b5-1 plan: Sales on 08/29/2025 were executed pursuant to a modified 10b5-1 plan, supporting compliance with insider trading rules
- Issuer-mandated withholding clarity: Filing explains the 09/02/2025 sale was to cover tax withholding on vested RSUs and PSUs
Negative
- Insider share reduction: Aggregate sale of 18,113 Class A shares decreases reported beneficial ownership from pre-sale levels to 97,377 shares
Insights
TL;DR Insider executed rule-compliant sales under a 10b5-1 plan and issuer-required withholding; routine disclosure with no new governance concerns.
The reporting shows structured, preplanned disposition and a separate issuer-mandated sale to satisfy tax withholding from equity vesting. Use of a 10b5-1 plan, modified on May 30, 2025, indicates transactions were intended to follow an affirmative defense to insider trading claims. The filing discloses remaining beneficial ownership counts after each sale, preserving transparency. There is no indication of additional compensatory or related-party transactions beyond the tax-withholding mechanic described.
TL;DR Insider share reductions are material for ownership tracking but reflect tax-withholding and preplanned sales, not an unexpected divestiture.
The reported disposals total 18,113 Class A shares sold across two dates at weighted-average prices of $139.96 and $133.8475, respectively. The filing specifies the 09/02/2025 sale fulfilled the issuer's requirement to cover withholding on vested restricted stock units and performance-based restricted stock units. Remaining beneficial ownership is reported as 97,377 shares after the second sale, allowing investors to update insider ownership metrics precisely. No derivative transactions were reported.