Keysight (KEYS) CEO surrenders 500 shares to cover tax on restricted stock
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Keysight Technologies President and CEO Satish Dhanasekaran surrendered 500 shares of common stock to the company at $340.48 per share to cover tax obligations on the release of restricted shares under Rule 16b-3. After this tax-withholding disposition, he directly holds about 121,897.578 Keysight shares.
Positive
- None.
Negative
- None.
Insider Trade Summary
1 transaction reported
Mixed
1 txn
Insider
Dhanasekaran Satish
Role
President and CEO
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Tax Withholding | Common Stock | 500 | $340.48 | $170K |
Holdings After Transaction:
Common Stock — 121,897.578 shares (Direct, null)
Footnotes (1)
- [object Object]
Key Figures
Shares surrendered for taxes: 500 shares
Price per surrendered share: $340.48/share
Shares held after transaction: 121,897.578 shares
3 metrics
Shares surrendered for taxes
500 shares
Tax-withholding disposition on restricted share release
Price per surrendered share
$340.48/share
Value used for the 500-share tax surrender
Shares held after transaction
121,897.578 shares
Direct holdings following the Form 4 transaction
Key Terms
tax-withholding disposition, restricted shares, Rule 16b-3
3 terms
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.
Rule 16b-3 regulatory
"in accordance with 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 Keysight (KEYS) CEO Satish Dhanasekaran report?
Satish Dhanasekaran reported surrendering 500 Keysight shares to the company. This was to satisfy tax liability on the release of restricted shares, treated as a tax-withholding disposition under Rule 16b-3 rather than an open-market sale.
Was the Keysight (KEYS) CEO’s Form 4 transaction an open-market sale?
No. The CEO’s Form 4 transaction reflects 500 shares surrendered back to Keysight. The footnote states this was to cover tax liability on restricted share release, not a discretionary open-market stock sale.
What is the role of Rule 16b-3 in the Keysight (KEYS) CEO transaction?
Rule 16b-3 allows certain insider transactions related to compensation plans. The filing notes the CEO surrendered 500 shares to Keysight under Rule 16b-3 to cover tax liability from the release of restricted shares granted as compensation.