DraftKings legal chief exercises RSUs, tax shares withheld
DraftKings Inc. Chief Legal Officer Dodge R. Stanton reported routine equity compensation activity involving restricted stock units.
Rhea-AI Filing Summary
DraftKings Inc. Chief Legal Officer Dodge R. Stanton reported routine equity compensation activity involving restricted stock units. On May 1, 2026, 1,475 RSUs were exercised into an equal number of Class A Common Stock shares, reflecting a derivative exercise rather than an open-market purchase.
To cover withholding taxes, 646 Class A shares were delivered back to DraftKings at $23.00 per share, a tax-withholding disposition that does not represent an open-market sale. A separate footnote notes that on February 17, 2026, Stanton was granted 17,707 RSUs 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 | $23.00 | $15K |
Holdings After Transaction:
Restricted Stock Units — 14,756 contracts (Direct);
Class A Common Stock — 536,729 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 (1) year from March 1, 2026.
Key Figures
RSUs exercised: 1,475 units
Tax-withholding shares: 646 shares
Withholding price: $23.00 per share
+1 more
4 metrics
RSUs exercised
1,475 units
Converted into 1,475 shares of Class A Common Stock on May 1, 2026
Tax-withholding shares
646 shares
Class A shares delivered to DraftKings to satisfy withholding taxes
Withholding price
$23.00 per share
Price used for tax-withholding disposition of 646 Class A shares
New RSU grant
17,707 RSUs
Granted February 17, 2026, vesting monthly over one year from March 1, 2026
Key Terms
Restricted Stock Units, tax-withholding disposition, derivative security, contingent right
4 terms
Restricted Stock Units financial
"No shares of Class A Common Stock were transferred or sold upon the vesting of the restricted stock units ("RSUs")"
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
"other than to the Issuer to satisfy withholding taxes"
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.
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 of the Issuer's Class A Common Stock."
FAQ
What did DraftKings (DKNG) Chief Legal Officer Dodge Stanton report on this Form 4?
Dodge Stanton reported routine equity compensation activity. 1,475 restricted stock units were exercised into Class A Common Stock, and some of the resulting shares were withheld by DraftKings to satisfy tax obligations, rather than being sold in the open market.
Did Dodge Stanton receive any new DraftKings (DKNG) RSU grant mentioned in this filing?
Yes. The filing notes a grant of 17,707 restricted stock units to Dodge Stanton on February 17, 2026. These RSUs are scheduled to vest monthly over one year starting March 1, 2026, providing ongoing equity-based compensation tied to his service.
Does this DraftKings (DKNG) Form 4 show open-market buying or selling by Dodge Stanton?
No open-market buys or sells are shown. The activity consists of RSUs vesting into shares and a related tax-withholding disposition where shares were delivered to DraftKings. Such transactions are compensation-related mechanics rather than discretionary market trades.
AI-generated analysis. How Rhea-AI works. Not financial advice.
