Tempus AI (TEM) Diagnostics CEO sells 1,580 shares for RSU tax withholding
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Tempus AI, Inc. executive Thomas Edward Schoenherr, CEO of Diagnostics, reported a small mandated share sale tied to tax withholding. He sold 1,580 shares of Class A common stock in an open-market transaction at a weighted average price of $44.07 per share. The sale covered statutory tax obligations from vesting restricted stock units under the company’s equity incentive plans and was not a discretionary trade. After this transaction, he directly holds 107,029 shares.
Positive
- None.
Negative
- None.
Insider Trade Summary
Net Seller: 1,580 shares ($69,631)
Net Sell
1 txn
Insider
Schoenherr Thomas Edward
Role
CEO, Diagnostics
Sold
1,580 shs ($70K)
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Class A Common Stock | 1,580 | $44.07 | $70K |
Holdings After Transaction:
Class A Common Stock — 107,029 shares (Direct, null)
Footnotes (1)
- Represents the number of shares required to be sold to cover the statutory tax withholding obligations in connection with the vesting of the restricted stock units. This sale is mandated by the Issuer's election under its equity incentive plans to require the satisfaction of minimum statutory tax withholding obligations to be funded by a "sell to cover" transaction and does not represent a discretionary sale by the Reporting Person. The price reported is a weighted average price. These shares were sold in multiple transactions at prices ranging from $43.65 to $44.46 inclusive. The Reporting Person undertakes to provide to the Issuer, any security holder of the Issuer, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote.
Key Figures
Shares sold: 1,580 shares
Weighted average sale price: $44.07 per share
Shares held after transaction: 107,029 shares
3 metrics
Shares sold
1,580 shares
Open-market sale on 2026-05-19 to cover tax withholding
Weighted average sale price
$44.07 per share
Open-market sale range $43.65 to $44.46
Shares held after transaction
107,029 shares
Direct Class A common stock holdings after sale
Key Terms
restricted stock units, sell to cover, weighted average price, statutory tax withholding
4 terms
restricted stock units financial
"in connection with the vesting of the 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.
sell to cover financial
"to be funded by a "sell to cover" transaction"
Sell to cover is when a person who receives company stock through options or awards sells just enough shares immediately to pay required taxes, exercise costs, or fees, keeping the rest. Think of it like cashing part of a bonus to cover the tax bill so you can keep the remainder. For investors, it can create predictable small selling pressure and slightly change the number of shares actually held by insiders without increasing long‑term dilution.
weighted average price financial
"The price reported is a weighted average price."
Weighted average price is the average price of a security where each trade or component is counted according to its size, so bigger trades pull the average more than smaller ones. Think of it like calculating the average cost of a grocery haul where items you bought more of have greater influence on the final per-item cost. Investors use it to understand the true average price paid or received, judge execution quality, and compare trading performance against market movement.
statutory tax withholding financial
"to cover the statutory tax withholding obligations"
FAQ
What insider transaction did Tempus AI (TEM) report for Thomas Edward Schoenherr?
Tempus AI reported that Thomas Edward Schoenherr sold 1,580 Class A shares. The transaction was an open-market sale to cover statutory tax withholding from vesting restricted stock units, rather than a discretionary decision to reduce ownership.
Was the Tempus AI (TEM) insider sale by Schoenherr a discretionary trade?
No, the filing states the sale was mandated to cover statutory tax withholding from vesting restricted stock units. Tempus AI’s equity plan required a “sell to cover” transaction, so this was a mechanical tax-related sale, not an elective reduction in holdings.
What does “sell to cover” mean in the Tempus AI (TEM) Form 4 filing?
“Sell to cover” means shares are automatically sold to pay required taxes when equity awards vest. In this case, Tempus AI’s plan required selling 1,580 shares to satisfy minimum statutory tax withholding tied to restricted stock unit vesting.