Alarm.com (ALRM) officer sells 2,532 shares to cover RSU taxes
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Alarm.com Holdings, Inc. officer Daniel Ramos reported an open-market sale of 2,532 shares of common stock at a weighted average price of $43.78 per share on May 26, 2026.
According to the footnotes, this transaction was a mandated “sell to cover” sale to satisfy tax withholding obligations arising from the settlement of vested restricted stock units under the company’s equity incentive plans, and was not a discretionary trade. After the sale, Ramos directly holds 63,099 shares of Alarm.com common stock.
Positive
- None.
Negative
- None.
Insider Trade Summary 10b5-1
Net Seller: 2,532 shares ($110,851)
Net Sell
1 txn
Insider
Ramos Daniel
Role
See Remarks
Sold
2,532 shs ($111K)
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Common Stock | 2,532 | $43.78 | $111K |
Holdings After Transaction:
Common Stock — 63,099 shares (Direct, null)
Footnotes (1)
- Represents the number of shares required to be sold by the Reporting Person to cover the tax withholding obligation in connection with the settlement of vested restricted stock units. This sale is mandated by the Issuer's election under its equity incentive plans to require the Reporting Person to fund this tax withholding obligation by completing a "sell to cover" transaction with a brokerage firm designated by the Issuer. This sale does not represent a discretionary trade by the Reporting Person. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $43.57 - $44.00, 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 to this Form 4.
Key Figures
Shares sold: 2,532 shares
Weighted average sale price: $43.78/share
Sale price range: $43.57–$44.00/share
+1 more
4 metrics
Shares sold
2,532 shares
Open-market sale on May 26, 2026
Weighted average sale price
$43.78/share
Common stock sale
Sale price range
$43.57–$44.00/share
Multiple trades within this range
Shares held after transaction
63,099 shares
Direct ownership after tax-related sale
Key Terms
restricted stock units, sell to cover, equity incentive plans, weighted average price
4 terms
restricted stock units financial
"in connection with the settlement of vested 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
"require the Reporting Person to fund this tax withholding obligation by completing 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.
equity incentive plans financial
"mandated by the Issuer's election under its equity incentive plans"
Equity incentive plans are company programs that pay employees, executives, or directors with company stock, stock options, or share units instead of or in addition to cash, aiming to align their interests with shareholders—like giving team members a stake in the house they help build. For investors this matters because such plans can motivate better company performance but also dilute existing ownership and increase reported compensation costs, so they affect future earnings, voting power, and share value.
weighted average price financial
"The price reported in Column 4 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.
FAQ
What did Alarm.com (ALRM) officer Daniel Ramos report in this Form 4 filing?
Daniel Ramos reported selling 2,532 shares of Alarm.com common stock. The shares were sold in an open-market transaction to satisfy tax withholding obligations linked to vested restricted stock units, rather than as a discretionary sale for portfolio or liquidity reasons.