HubSpot (HUBS) CTO logs small tax-withholding share disposition on RSU vesting
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
HUBSPOT INC Chief Technology Officer Dharmesh Shah reported a small tax-related share disposition tied to equity compensation. On settlement of restricted stock units, 381 shares of common stock were withheld by the company at $242.79 per share to cover associated taxes, a non-market, tax-withholding disposition. After this, Shah directly held 1,285,400 HUBSPOT common shares. The filing also shows 16,000 shares held by the Polaris I Trust and 11,000 shares held by the Polaris II Trust, where Shah serves as trustee and disclaims beneficial ownership beyond his pecuniary interest.
Positive
- None.
Negative
- None.
Insider Trade Summary
3 transactions reported
Mixed
3 txns
Insider
Shah Dharmesh
Role
Chief Technology Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Tax Withholding | Common Stock | 381 | $242.79 | $93K |
| holding | Common Stock | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
Holdings After Transaction:
Common Stock — 1,285,400 shares (Direct);
Common Stock — 16,000 shares (Indirect, See Footnote.)
Footnotes (1)
- Shares withheld by Issuer to cover taxes associated with settlement of restricted stock units. Shares held by the Polaris I Trust, for which Dharmesh Shah serves as trustee. The reporting person disclaims beneficial ownership of these securities in excess of his pecuniary interest therein, and the filing of this report is not an admission that the reporting person is the beneficial owner of these securities for purposes of Section 16 or for any other purpose. Shares held by the Polaris II Trust, for which Dharmesh Shah serves as trustee. The reporting person disclaims beneficial ownership of these securities in excess of his pecuniary interest therein, and the filing of this report is not an admission that the reporting person is the beneficial owner of these securities for purposes of Section 16 or for any other purpose.
Key Figures
Tax-withheld shares: 381 shares
Withholding price: $242.79 per share
Direct holdings after transaction: 1,285,400 shares
+3 more
6 metrics
Tax-withheld shares
381 shares
Shares withheld to cover RSU-related taxes
Withholding price
$242.79 per share
Reported price for 381 tax-withheld shares
Direct holdings after transaction
1,285,400 shares
Dharmesh Shah direct HUBSPOT common stock
Polaris I Trust holdings
16,000 shares
Indirect HUBSPOT shares held by Polaris I Trust
Polaris II Trust holdings
11,000 shares
Indirect HUBSPOT shares held by Polaris II Trust
Tax-withholding share count (summary)
381 shares
TaxWithholdingShares in transaction summary
Key Terms
restricted stock units, tax-withholding disposition, pecuniary interest, beneficial ownership, +1 more
5 terms
restricted stock units financial
"Shares withheld by Issuer to cover taxes associated with settlement of restricted stock units."
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
"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.
pecuniary interest financial
"disclaims beneficial ownership of these securities in excess of his pecuniary interest therein"
beneficial ownership financial
"the reporting person is the beneficial owner of these securities for purposes of Section 16"
Beneficial ownership means the person or entity that actually enjoys the benefits of owning shares or other assets — such as receiving dividends, voting rights, or price gains — even if the legal title is held in another name. For investors it matters because knowing who truly controls and profits from a company reveals who can influence decisions, exposes potential conflicts of interest or hidden concentration of power, and affects transparency and risk in the stock.
Section 16 regulatory
"beneficial owner of these securities for purposes of Section 16 or for any other purpose."
Section 16 is a U.S. securities law rule that governs the trading and disclosure obligations of company insiders — typically officers, directors and large shareholders — to promote transparency and deter unfair profit-taking. It requires insiders to publicly report their stock trades and allows companies or the issuer to reclaim quick, short-term profits from certain insider trades, like a scoreboard and a refund policy that help investors see and limit possible insider advantage.
FAQ
What insider transaction did HUBSPOT (HUBS) CTO Dharmesh Shah report?
Dharmesh Shah reported a tax-withholding disposition related to equity compensation. HUBSPOT withheld 381 common shares upon restricted stock unit settlement to cover taxes, rather than Shah selling shares in the open market, making this a routine administrative event.
Was this HUBSPOT (HUBS) Form 4 an open-market sale by Dharmesh Shah?
No. The Form 4 describes a tax-withholding disposition, not an open-market sale. Shares were withheld by HUBSPOT to satisfy tax obligations from restricted stock unit settlement, which is a common administrative feature of equity compensation programs.