Penumbra Insider Trading: CEO Exercises Options, Nets $3.9M in Sales
Rhea-AI Filing Summary
Penumbra, Inc. (PEN) – Form 4 insider transaction filed 07/11/2025
Chief Executive Officer and President Adam Elsesser reported an option exercise (Code M) and subsequent open-market sales executed under a pre-arranged Rule 10b5-1 trading plan on 07/09/2025:
- Exercised: 27,976 common shares at an exercise price of $30.00.
- Sold: 15,985 common shares across eight trades at weighted-average prices ranging from $241.09 to $248.79.
After these transactions, Elsesser’s holdings are:
- Direct ownership: 134,432 common shares.
- Indirect ownership: 577,582 common shares held by the Siegel/Elsesser Revocable Trust.
- Derivative holdings: 111,908 vested stock options remaining.
The filing indicates that sales were made primarily to cover the exercise price and associated tax withholdings related to the expiring options. No other corporate events or financial results are disclosed in this filing.
Positive
- None.
Negative
- CEO liquidated 15,985 shares (~$3.9 million), reducing direct holdings to 134,432 shares.
Insights
TL;DR CEO exercised options and sold ~16k shares; still retains sizeable stake, neutral signal.
The transaction converts low-priced options ($30 strike) into common stock worth roughly $6.7 million at prevailing prices, followed by gross sales of about $3.9 million. Because the activity occurred under a Rule 10b5-1 plan tied to option expiration, it appears routine rather than opportunistic. Post-sale, Elsesser continues to own over 700k shares (direct + indirect), aligning interests with shareholders. The relatively small reduction (<3% of total controlled shares) and absence of any accompanying corporate news make the market impact limited.
TL;DR Pre-planned trades; governance risk low, impact neutral.
Because the CEO used a disclosed 10b5-1 plan and filed promptly, governance best-practice boxes are checked. The sale proceeds mainly satisfy tax/strike costs linked to expiring options, a standard liquidity event. Continuing large ownership (≈712k shares) preserves alignment incentives. No red flags such as accelerated selling or undisclosed side agreements are evident.
Insider Trade Summary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Stock Option (right to buy) | 27,976 | $0.00 | -- |
| Exercise | Common Stock | 27,976 | $30.00 | $839K |
| Sale | Common Stock | 1,395 | $241.09 | $336K |
| Sale | Common Stock | 1,244 | $241.96 | $301K |
| Sale | Common Stock | 3,522 | $242.97 | $856K |
| Sale | Common Stock | 5,710 | $243.97 | $1.39M |
| Sale | Common Stock | 2,379 | $244.71 | $582K |
| Sale | Common Stock | 1,110 | $245.90 | $273K |
| Sale | Common Stock | 450 | $247.92 | $112K |
| Sale | Common Stock | 175 | $248.79 | $44K |
| holding | Common Stock | -- | -- | -- |
Footnotes (1)
- The sales were effected pursuant to the Reporting Person's Rule 10b5-1 trading plan. The Reporting Person entered in the 10b5-1 trading plan in connection with the expiration of certain stock options held by the Reporting Person and related sales of shares to satisfy the exercise price and tax withholding obligations upon the exercise of such stock options. This transaction was executed in multiple trades at prices ranging from $240.43 to $241.34. The price reported above reflects the weighted average sale price. The Reporting Person hereby undertakes to provide to the SEC staff, the Issuer or a security holder of the Issuer, upon request, full information regarding the number of shares and prices at which the transaction was effected. This transaction was executed in multiple trades at prices ranging from $241.62 to $242.12. The price reported above reflects the weighted average sale price. The Reporting Person hereby undertakes to provide to the SEC staff, the Issuer or a security holder of the Issuer, upon request, full information regarding the number of shares and prices at which the transaction was effected. This transaction was executed in multiple trades at prices ranging from $242.55 to $243.42. The price reported above reflects the weighted average sale price. The Reporting Person hereby undertakes to provide to the SEC staff, the Issuer or a security holder of the Issuer, upon request, full information regarding the number of shares and prices at which the transaction was effected. This transaction was executed in multiple trades at prices ranging from $243.45 to $244.41. The price reported above reflects the weighted average sale price. The Reporting Person hereby undertakes to provide to the SEC staff, the Issuer or a security holder of the Issuer, upon request, full information regarding the number of shares and prices at which the transaction was effected. This transaction was executed in multiple trades at prices ranging from $244.43 to $245.28. The price reported above reflects the weighted average sale price. The Reporting Person hereby undertakes to provide to the SEC staff, the Issuer or a security holder of the Issuer, upon request, full information regarding the number of shares and prices at which the transaction was effected. This transaction was executed in multiple trades at prices ranging from $245.69 to $246.13. The price reported above reflects the weighted average sale price. The Reporting Person hereby undertakes to provide to the SEC staff, the Issuer or a security holder of the Issuer, upon request, full information regarding the number of shares and prices at which the transaction was effected. Shares are held by the Siegel/Elsesser Revocable Trust. All shares are vested and exercisable.
