DraftKings CLO exercises RSUs, covers tax with shares
DraftKings Inc. reported that Chief Legal Officer Dodge R. Stanton had restricted stock units vest and convert into Class A common stock.
Rhea-AI Filing Summary
DraftKings Inc. reported that Chief Legal Officer Dodge R. Stanton had restricted stock units vest and convert into Class A common stock. 1,475 RSUs converted into the same number of shares, of which 646 shares were withheld by the company to cover tax obligations, leaving an effective net of 829 shares received.
Following these transactions, Stanton directly held 557,087 shares of Class A common stock and 11,805 RSUs, each representing a contingent right to receive one share. A separate grant of 17,707 RSUs was awarded on February 17, 2026, vesting monthly over one year from March 1, 2026.
Positive
- None.
Negative
- None.
Insider Trade Summary
1,475 shares exercised/converted
Exercise
3 txns
Insider
Dodge R Stanton
Role
Chief Legal Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units | 1,475 | $0.00 | $0.00 |
| Exercise | Class A Common Stock | 1,475 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Class A Common Stock | 646 | $25.77 | $17K |
Holdings After Transaction:
Restricted Stock Units — 11,805 contracts (Direct);
Class A Common Stock — 557,087 shares (Direct)
Footnotes (2)
- F1. No shares of Class A Common Stock were transferred or sold upon the vesting of the restricted stock units ("RSUs") other than to the Issuer to satisfy withholding taxes. The Reporting Person received the net of the 1,475 shares of Class A Common Stock underlying the RSUs listed in Table II, and 646 shares of Class A Common Stock withheld by the Issuer. Each RSU represents a contingent right to receive one share of the Issuer's Class A Common Stock.
- F2. On February 17, 2026, the Reporting Person was granted 17,707 RSUs vesting monthly over one (1) year from March 1, 2026.
Key Figures
Shares withheld for taxes: 646 shares
RSUs converted: 1,475 RSUs
Shares held after transaction: 557,733 shares
+4 more
7 metrics
Shares withheld for taxes
646 shares
Class A common stock delivered to issuer for withholding taxes
RSUs converted
1,475 RSUs
Restricted Stock Units converting into Class A common stock
Shares held after transaction
557,733 shares
Direct Class A common stock holding after reported transactions
RSUs outstanding
11,805 RSUs
Restricted stock units remaining after the transactions
New RSU grant
17,707 RSUs
Grant on February 17, 2026 vesting monthly from March 1, 2026
Tax-withholding shares in summary
646 shares
TaxWithholdingShares in transactionSummary for code F disposition
Exercise shares in summary
1,475 shares
ExerciseShares in transactionSummary for derivative exercise
Key Terms
Restricted Stock Units, withholding taxes, derivative security, contingent right, +1 more
5 terms
Restricted Stock Units financial
"The Reporting Person was granted 17,707 RSUs vesting monthly over one (1) year"
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.
withholding taxes financial
"shares of Class A Common Stock were transferred or sold... to satisfy withholding taxes"
Withholding taxes are amounts a payer or government takes out of payments — such as wages, interest, or dividends — before the recipient gets the money, functioning like a cashier keeping part of a bill to pay taxes on your behalf. For investors this matters because it reduces the cash they actually receive, affects net returns and yield calculations, and may require additional paperwork or treaty claims to recover or offset the withheld amount against final tax bills.
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.
contingent right financial
"Each RSU represents a contingent right to receive one share"
tax-withholding disposition financial
"transaction_action: tax-withholding disposition"
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.
FAQ
What insider transactions did DraftKings (DKNG) report for Dodge R. Stanton?
DraftKings reported RSU vesting and related share movements for Chief Legal Officer Dodge R. Stanton. 1,475 RSUs converted into Class A shares, with 646 shares withheld for taxes and the remainder effectively added to his direct holdings.
What DraftKings (DKNG) RSU awards are outstanding for Dodge R. Stanton?
Following the Form 4 transactions, Stanton held 11,805 restricted stock units. Each RSU represents a contingent right to receive one share of DraftKings Class A common stock, providing additional potential equity exposure as the units vest in the future.
What new RSU grant did Dodge R. Stanton receive from DraftKings (DKNG)?
On February 17, 2026, Dodge R. Stanton was granted 17,707 restricted stock units. These RSUs are scheduled to vest monthly over one year starting March 1, 2026, gradually delivering additional equity-based compensation as service conditions are met.
AI-generated analysis. How Rhea-AI works. Not financial advice.
