Cloudflare (NET) President Michelle Zatlyn Sells Shares

What Happened
Michelle Zatlyn, President and Board Co‑Chair of Cloudflare (NET), converted and/or exercised 33,003 derivative shares on each of Sept 3, 4 and 8, 2026 and sold those shares the same days. In total she disposed of 99,009 shares in multiple open‑market transactions across Sept 3–8, generating approximately $27,657,087 in gross proceeds (weighted average prices in the low‑to‑high $270s).

Key Details

• Transaction dates: Sept 3, 2026; Sept 4, 2026; Sept 8, 2026. Each date shows conversion/exercise of 33,003 shares followed by sales of the same 33,003 shares.
• Total sold: 99,009 shares; total proceeds reported: ~$27.66M.
• Price range (per footnotes): sales occurred roughly between $271.69 and $283.25 per share (weighted averages reported for grouped trades). Individual weighted average sale prices per block ranged from ~$272 to ~$282.
• Plan/authorization: Sales were effected pursuant to a Rule 10b5‑1 trading plan adopted Feb 27, 2026 (footnote F3).
• Derivative/zero‑price entries: Several entries show $0.00 for exercise/conversion — these reflect conversion of derivative/Class B shares into Class A (one‑for‑one) or internal re‑registration, not cash purchases (see footnotes F1, F23).
• Shares owned after transaction: not specified in the provided excerpt.
• Filing timing: Form filed Sept 8, 2026 covering trades on Sept 3 and 4; those earlier trades appear to fall outside the standard 2‑business‑day Form 4 window, while the Sept 8 trades were filed same day.

Context
These transactions look like a routine, pre‑arranged disposition: Zatlyn converted/registered shares and immediately sold them under a 10b5‑1 plan. Sales do not necessarily signal a change in view on the company — purchases are typically more informative about insider sentiment. The derivative entries at $0 reflect conversion/re‑registration (Class B → Class A) rather than a cash exercise.