ServiceNow executive exercises RSUs, withholds shares for tax
ServiceNow, Inc. executive Amit Zavery reported routine equity compensation activity.
Rhea-AI Filing Summary
ServiceNow, Inc. executive Amit Zavery reported routine equity compensation activity. On May 7, 2026, he exercised 9,990 restricted stock units, each converting into one share of common stock. In connection with this vesting, 5,370 shares of common stock were relinquished to cover federal and state tax withholding obligations at $93.59 per share under Rule 16b-3.
Following these transactions, Zavery directly held 71,944 shares of common stock and 19,985 restricted stock units. The filing reflects compensation-related vesting and tax withholding rather than an open-market purchase or sale.
Positive
- None.
Negative
- None.
Insider Trade Summary
9,990 shares exercised/converted
Exercise
3 txns
Insider
Zavery Amit
Role
President, CPO and COO
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units | 9,990 | $0.00 | $0.00 |
| Exercise | Common Stock | 9,990 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Common Stock | 5,370 | $93.59 | $503K |
Holdings After Transaction:
Restricted Stock Units — 19,985 contracts (Direct);
Common Stock — 71,944 shares (Direct)
Footnotes (3)
- F1. Represents shares relinquished by the Reporting Person in exchange for the Issuer's payment of federal and state tax withholding obligations of the Reporting Person resulting from the vesting of RSUs, in accordance with Rule 16b-3.
- F2. Each restricted stock unit represents a contingent right to receive one share of Issuer's common stock.
- F3. 16.75% of the shares subject to the restricted stock units vested on each of February 7, 2025, May 7, 2025, August 7, 2025, and November 7, 2025, and the remaining 33% of the shares subject to the restricted stock units began vesting quarterly on February 7, 2026, and subject to the reporting person's continued service to the Issuer on each vesting date.
Key Figures
Shares relinquished for taxes: 5,370 shares at $93.59
RSUs exercised: 9,990 restricted stock units
Shares held after transaction: 77,314 shares
+3 more
6 metrics
Shares relinquished for taxes
5,370 shares at $93.59
Common stock surrendered to cover tax withholding obligations
RSUs exercised
9,990 restricted stock units
Each RSU converted into one share of common stock
Shares held after transaction
77,314 shares
Direct ownership of ServiceNow common stock following Form 4 transactions
RSUs remaining
19,985 units
Restricted stock units outstanding after reported vesting events
Scheduled vesting tranches
16.75% per date
RSU vesting on Feb 7, May 7, Aug 7, Nov 7, 2025
Remaining vesting portion
33% of RSU shares
Began vesting quarterly on February 7, 2026, subject to continued service
Key Terms
Restricted Stock Units, Rule 16b-3, contingent right, vested, +1 more
5 terms
Restricted Stock Units financial
"Represents shares relinquished by the Reporting Person in exchange for the Issuer's payment of federal and state tax withholding obligations of the Reporting Person resulting from the vesting of 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.
Rule 16b-3 regulatory
"Represents shares relinquished by the Reporting Person in exchange for the Issuer's payment of federal and state tax withholding obligations ... 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.
contingent right financial
"Each restricted stock unit represents a contingent right to receive one share of Issuer's common stock."
vested financial
"16.75% of the shares subject to the restricted stock units vested on each of February 7, 2025, May 7, 2025, August 7, 2025, and November 7, 2025"
continued service financial
"the remaining 33% of the shares subject to the restricted stock units began vesting quarterly on February 7, 2026, and subject to the reporting person's continued service to the Issuer on each vesting date."
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What insider transactions did ServiceNow (NOW) executive Amit Zavery report?
Amit Zavery reported RSU vesting and related tax withholding. He exercised 9,990 restricted stock units into common shares and relinquished 5,370 shares back to ServiceNow to satisfy federal and state tax obligations tied to the vesting.
What happened to the 9,990 restricted stock units in the ServiceNow (NOW) filing?
The 9,990 restricted stock units were exercised into an equal number of ServiceNow common shares at a conversion price of $0.00. This reflects equity compensation vesting rather than a cash purchase of shares on the market.
What is the vesting schedule for Amit Zavery’s ServiceNow (NOW) restricted stock units?
According to the filing, 16.75% of the RSU shares vested on February 7, 2025, May 7, 2025, August 7, 2025, and November 7, 2025. The remaining 33% began vesting quarterly on February 7, 2026, subject to continued service.
AI-generated analysis. How Rhea-AI works. Not financial advice.
