Rocket CFO forfeits 58,717 shares for taxes
Rocket Companies’ president and CFO reported share withholdings to satisfy tax obligations on vested restricted stock units.
Rhea-AI Filing Summary
Rocket Companies, Inc. (RKT) reported that its President & Chief Financial Officer, Brian Nicholas Brown, had shares withheld to cover taxes upon vesting of equity awards. On September 7 and 8, 2026, a total of 58,717 shares of Class A common stock were disposed of at $14.06 per share through transactions coded as payments of tax liability by delivering or withholding securities. A footnote states these shares were forfeited to pay tax withholding obligations upon the vesting of restricted stock units granted under the company’s 2020 Omnibus Incentive Plan, and also describes 395,777 shares of Class A common stock that had previously been reported as Class L-1 common stock and were converted to Class A in a transaction exempt under Rule 16b-3.
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Insights
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Insider Trade Summary
Tax Withholding: 58,717 shares
Tax Withholding
3 txns
Insider
Brown Brian Nicholas
Role
President & Chief Fin Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Tax Withholding | Class A common stock F1, F2 | 14,675 | $14.06 | $206K |
| Tax Withholding | Class A common stock F1, F2 | 44,042 | $14.06 | $619K |
| holding | Class L-2 common stock | -- | -- | -- |
Holdings After Transaction:
Class A common stock — 1,624,066 shares (Direct);
Class L-2 common stock — 395,777 shares (Direct)
Footnotes (2)
- F1. Number of shares forfeited to pay tax withholding obligations upon the vesting of restricted stock units granted by the Issuer under its 2020 Omnibus Incentive Plan.
- F2. Includes 395,777 shares of Class A common stock that were previously reported as shares of Class L-1 common stock, which were converted to shares of Class A common stock in accordance with the Issuer's Restated Certificate of Incorporation in a transaction exempted under Rule 16b-3.
Key Figures
Shares disposed September 7, 2026: 44,042 shares
Shares disposed September 8, 2026: 14,675 shares
Total tax-withholding shares: 58,717 shares
+2 more
5 metrics
Shares disposed September 7, 2026
44,042 shares
Class A common stock withheld to pay tax withholding obligations upon RSU vesting
Shares disposed September 8, 2026
14,675 shares
Class A common stock withheld to pay tax withholding obligations upon RSU vesting
Total tax-withholding shares
58,717 shares
Sum of Class A shares disposed on September 7 and 8, 2026 to satisfy tax obligations
Price per share
$14.06 per share
Valuation used for both Class A common stock tax-withholding transactions
Shares referenced in conversion footnote
395,777 shares
Class A common stock previously reported as Class L-1 and converted to Class A in a Rule 16b-3 exempt transaction
Key Terms
restricted stock units, 2020 Omnibus Incentive Plan, tax withholding obligations, Restated Certificate of Incorporation, +1 more
5 terms
restricted stock units financial
"Number of shares forfeited to pay tax withholding obligations upon the vesting 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.
2020 Omnibus Incentive Plan financial
"restricted stock units granted by the Issuer under its 2020 Omnibus Incentive Plan"
tax withholding obligations financial
"shares forfeited to pay tax withholding obligations upon the vesting of restricted stock units"
Restated Certificate of Incorporation regulatory
"converted to shares of Class A common stock in accordance with the Issuer's Restated Certificate of Incorporation"
A restated certificate of incorporation is an updated, single-document version of a company’s founding rules that folds together the original charter and all later changes into one clear set of terms — like replacing a patchwork manual with a clean, revised edition. Investors care because it clarifies ownership details, voting rights, share classes and other legal rules that affect control, dividends and how value is created or diluted, so it can change the risks and benefits of owning the stock.
Rule 16b-3 regulatory
"converted to shares of Class A common stock in a transaction exempted 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 did Rocket Companies (RKT) executive Brian Nicholas Brown report on this Form 4?
He reported that shares of Class A common stock were withheld on September 7 and 8, 2026 to pay tax withholding obligations arising from the vesting of restricted stock units granted under Rocket Companies’ 2020 Omnibus Incentive Plan.
Were the Rocket Companies (RKT) Form 4 transactions part of a Rule 10b5-1 trading plan?
No. The Form 4 indicates that no Rule 10b5-1 trading plan was affirmed for these transactions, and the document-level checkbox for such a plan is shown as not selected.
What plan governed the restricted stock units in this Rocket Companies (RKT) Form 4?
The restricted stock units that vested, triggering tax-withholding share dispositions, were granted under Rocket Companies’ 2020 Omnibus Incentive Plan, as stated in the Form 4 footnote.
AI-generated analysis. How Rhea-AI works. Not financial advice.
