Cognizant (NASDAQ: CTSH) CLO logs RSU vesting and tax share withholding
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Cognizant Technology Solutions executive John Sunshin Kim, the company’s CLO, CAO and Corporate Secretary, reported the vesting and conversion of restricted stock units into Class A Common Stock. On February 16, 2026, a total of 2,136 RSUs were exercised into the same number of shares at $0.00 per share, reflecting equity awards granted in February 2023 under the 2017 Incentive Award Plan. The filing also shows 1,198 shares of Class A Common Stock were withheld at $66.55 per share to cover applicable taxes rather than being sold in the open market. After these transactions, Kim directly owned 32,830 shares of Cognizant Class A Common Stock.
Positive
- None.
Negative
- None.
Insider Trade Summary
2,136 shares exercised/converted
Mixed
7 txns
Insider
Kim John Sunshin
Role
CLO, CAO & Corporate Secretary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units | 1,225 | $0.00 | -- |
| Exercise | Restricted Stock Units | 628 | $0.00 | -- |
| Exercise | Restricted Stock Units | 283 | $0.00 | -- |
| Exercise | Class A Common Stock | 1,225 | $0.00 | -- |
| Exercise | Class A Common Stock | 628 | $0.00 | -- |
| Exercise | Class A Common Stock | 283 | $0.00 | -- |
| Tax Withholding | Class A Common Stock | 1,198 | $66.55 | $80K |
Holdings After Transaction:
Restricted Stock Units — 0 shares (Direct);
Class A Common Stock — 33,117 shares (Direct)
Footnotes (1)
- Shares of Class A Common Stock of Cognizant Technology Solutions Corporation (the "Company") received from the fully vested restricted stock unit ("RSU") award granted on February 16, 2023. Each RSU represents a contingent right to receive one share of the Company's Class A Common Stock. Shares of the Company's Class A Common Stock withheld to pay applicable taxes. A total of 14,692 RSUs were originally granted on February 16, 2023 under the Company's 2017 Incentive Award Plan and such originally granted amount began vesting in quarterly installments over three years, commencing on May 16, 2023, with 1/12th of such RSUs vesting on each quarterly vesting date and the remainder of the RSUs were fully vested on February 16, 2026. A total of 7,534 RSUs were originally granted on February 16, 2023 under the Company's 2017 Incentive Award Plan and such originally granted amount began vesting in quarterly installments over three years, commencing on May 16, 2023, with 1/12th of such RSUs vesting on each quarterly vesting date and the remainder of the RSUs were fully vested on February 16, 2026. A total of 6,781 RSUs were originally granted on February 16, 2023 under the Company's 2017 Incentive Award Plan and such originally granted amount began vesting in quarterly installments over three years, commencing on May 16, 2023, with (i) 1/8th of such RSUs vesting on each of the first four vesting dates; (ii) 2/3rds of 1/8th of such RSUs vesting on each of the successive four vesting dates; (iii) 1/3rd of 1/8th of such RSUs vesting on each of the next three successive vesting dates; and (iv) the remainder of the RSUs were fully vested on February 16, 2026.
FAQ
What insider transactions did Cognizant (CTSH) report for John Sunshin Kim?
Cognizant reported that executive John Sunshin Kim had restricted stock units vest and convert into Class A Common Stock. The Form 4 also shows a portion of the resulting shares was withheld to satisfy tax obligations tied to these equity awards.
What was the tax-withholding transaction reported for Cognizant (CTSH) insider John Sunshin Kim?
The filing shows 1,198 shares of Cognizant Class A Common Stock were withheld at a price of $66.55 per share. This tax-withholding disposition covered applicable taxes arising from the vesting and conversion of Kim’s restricted stock unit awards.
Were the Cognizant (CTSH) insider transactions open-market buys or sales?
The transactions were not open-market buys or sales. They reflect the exercise and conversion of restricted stock units into Cognizant Class A shares, plus a tax-withholding disposition where shares were withheld to pay taxes, rather than sold on an exchange.
What plan governed the RSU awards reported in the Cognizant (CTSH) Form 4?
The restricted stock unit awards were granted under Cognizant’s 2017 Incentive Award Plan. The footnotes explain that RSUs granted on February 16, 2023 vested in scheduled installments over three years, with the remaining units fully vesting on February 16, 2026.