Lath Hitesh 4

What Happened

• Hitesh Lath, Chief Financial Officer of C3.ai (AI), sold 34,210 shares in an open‑market transaction on 2026-06-16 for a total of approximately $374,600 (weighted‑average price $10.95; sales ranged $10.75–$11.09).
• On 2026-06-15 the filing also reports conversion/exercise of derivative awards (code M) that resulted in 29,008 shares being issued (8,008 + 1,000 + 20,000). Related entries at $0.00 reflect shares withheld/sold to satisfy tax withholding tied to RSU vesting, per the issuer’s practice.
• This is a sale (not a purchase); the primary actionable item for investors is the open‑market disposal and the RSU settlement/tax withholding that triggered it.

Key Details

• Transaction dates and prices:
  • 2026-06-15: Conversion/exercise of RSU derivatives (total 29,008 shares) recorded at $0.00 (settlement/withholding).
  • 2026-06-16: Open‑market sale of 34,210 shares at a weighted‑average price of $10.95 (total proceeds ≈ $374,600); individual sale prices ranged $10.75–$11.09 (F3).
• Shares owned after the transactions: not specified in the summary filing provided.
• Notable footnotes:
  • F1: Each RSU converts to one share upon settlement.
  • F2: The issuer automatically withheld/sold shares to cover tax obligations on RSU vesting.
  • F4–F6: Vesting schedule details for the RSU awards (initial 5–20% tranches and ongoing quarterly vesting).
• Timeliness: Filing was submitted June 17, 2026 for transactions on June 15–16, consistent with routine Form 4 timing (no late‑filing indication in the provided data).

Context

• The derivative entries (code M) reflect RSU settlement/conversion rather than a traditional cash exercise of stock options; some of the resulting shares were withheld/sold to pay taxes (a common, administrative action).
• The 6/16 open‑market sale appears to be a routine sale rather than a purchase signal; sales triggered by tax withholding or vesting do not necessarily indicate a change in an insider’s view of the company.