iRhythm (IRTC) chief commercial & product officer acquires 177 ESPP shares
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
iRhythm Holdings, Inc. executive Chad Patterson reported acquiring 177 shares of common stock at $96.815 per share. The shares were purchased through the company’s 2016 Employee Stock Purchase Plan for the period from December 1, 2025 through May 31, 2026.
After this plan-related acquisition, Patterson directly holds 58,341 shares of iRhythm common stock. The filing notes that this transaction is exempt from Section 16(b) under Rule 16b-3 and is being reported on a voluntary basis.
Positive
- None.
Negative
- None.
Insider Trade Summary
1 transaction reported
Mixed
1 txn
Insider
Patterson Chad
Role
CHIEF COMM & PRODUCT OFFICER
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Grant/Award | Common Stock | 177 | $96.815 | $17K |
Holdings After Transaction:
Common Stock — 58,341 shares (Direct, null)
Footnotes (1)
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Key Figures
Shares acquired: 177 shares
Purchase price: $96.815 per share
Post-transaction holdings: 58,341 shares
+2 more
5 metrics
Shares acquired
177 shares
Common Stock acquired via 2016 Employee Stock Purchase Plan
Purchase price
$96.815 per share
Price for ESPP acquisition reported on Form 4
Post-transaction holdings
58,341 shares
Directly held common stock after acquisition
Purchase period start
December 1, 2025
Start of ESPP purchase period
Purchase period end
May 31, 2026
End of ESPP purchase period
Key Terms
2016 Employee Stock Purchase Plan, Section 16(b), Rule 16b-3
3 terms
2016 Employee Stock Purchase Plan financial
"acquisition of shares of the Issuer's common stock pursuant to the Issuer's 2016 Employee Stock Purchase Plan"
Section 16(b) regulatory
"This transaction is exempt from Section 16(b) under Rule 16b-3"
A federal rule that requires company insiders—like officers, directors and large shareholders—to return any profits made from buying and selling the company’s stock within a six-month window. It matters to investors because it discourages short-term trades that could exploit non-public information and helps protect outside shareholders by creating a simple, enforceable way to recover unfair gains, much like a rule stopping someone from flipping a limited-edition item for quick profit after getting early access.
Rule 16b-3 regulatory
"This transaction is exempt from Section 16(b) under Rule 16b-3"
Rule 16b-3 is a Securities and Exchange Commission regulation that exempts certain routine, pre-approved transactions by company insiders from automatic liability for short-term trading profits. It acts like a safe harbor: if an insider follows a formal plan or the board approves specific transactions in advance, profits from buying and selling company stock within six months are not automatically reclaimed. Investors care because the rule clarifies when insider trades are permissible and reduces uncertainty about potential clawbacks.
FAQ
What insider transaction did iRhythm (IRTC) report for Chad Patterson?
Chad Patterson reported acquiring 177 shares of iRhythm common stock. The shares were obtained through the 2016 Employee Stock Purchase Plan covering December 1, 2025 to May 31, 2026, and the transaction is exempt under Rule 16b-3.
Was the iRhythm (IRTC) insider transaction an open-market purchase?
No, the transaction was not an open-market purchase. The 177 shares were acquired through iRhythm’s 2016 Employee Stock Purchase Plan, a company benefit program, and the filing states the transaction is exempt from Section 16(b) under Rule 16b-3.
Why is the iRhythm (IRTC) insider transaction described as exempt under Rule 16b-3?
The filing states the transaction is exempt from Section 16(b) under Rule 16b-3 because the 177 shares were acquired through iRhythm’s 2016 Employee Stock Purchase Plan. Such plan-based acquisitions generally qualify for this exemption when properly structured and approved.