Ken Xie - Jan 9, 2024 Form 4 Insider Report for Fortinet, Inc. (FTNT)

Role
President & CEO, Director
Signature
/s/ Robert Turner, by power of attorney
Stock symbol
FTNT
Transactions as of
Jan 9, 2024
Transactions value $
-$2,099,562
Form type
4
Date filed
1/11/2024, 04:21 PM
Previous filing
Dec 14, 2023
Next filing
Jan 26, 2024

Transactions Table

Type Sym Class Transaction Value $ Shares Change % * Price $ Shares After Date Ownership Footnotes
transaction FTNT Common Stock Options Exercise $621K +83.3K +0.16% $7.45* 51.7M Jan 9, 2024 Direct
transaction FTNT Common Stock Sale -$1.38M -23.2K -0.04% $59.62 51.7M Jan 9, 2024 Direct F1, F2
transaction FTNT Common Stock Sale -$1.43M -23.6K -0.05% $60.60 51.7M Jan 9, 2024 Direct F1, F3
transaction FTNT Common Stock Options Exercise $621K +83.3K +0.16% $7.45* 51.8M Jan 10, 2024 Direct
transaction FTNT Common Stock Sale -$703K -11.8K -0.02% $59.53 51.8M Jan 10, 2024 Direct F1, F4
transaction FTNT Common Stock Sale -$986K -16.2K -0.03% $60.68 51.8M Jan 10, 2024 Direct F1, F5
transaction FTNT Common Stock Sale $1.16M +18.8K +0.04% $61.40 51.7M Jan 10, 2024 Direct F1, F6
holding FTNT Common Stock 3.24M Jan 9, 2024 By spouse
holding FTNT Common Stock 4.26M Jan 9, 2024 By trust F7
holding FTNT Common Stock 4.26M Jan 9, 2024 By trust F8

Derivative Securities (e.g., puts, calls, warrants, options, convertible securities)

Type Sym Class Transaction Value $ Shares Change % * Price $ Shares After Date Underlying Class Amount Exercise Price Ownership Footnotes
transaction FTNT Nonqualified Stock Option (right to buy) Options Exercise $0 -83.3K -25% $0.00 250K Jan 9, 2024 Common Stock 83.3K $7.45 Direct F9
transaction FTNT Nonqualified Stock Option (right to buy) Options Exercise $0 -83.3K -33.33% $0.00 167K Jan 10, 2024 Common Stock 83.3K $7.45 Direct F9
* An asterisk sign (*) next to the price indicates that the price is likely invalid.

Buy Plan / Sale Plan: These are also open market purchases/sales of shares, but in this case the transaction is part of a trading plan. Rule 10b5-1 allows insiders to setup a trading plan to buy/sell stocks over a certain period of time. Since the purchases/sales are predetermined, this protects the insiders from violating insider trading law.

Transaction was made pursuant to a contract, instruction or written plan for the purchase or sale of equity securities of the issuer that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c).

Explanation of Responses:

Id Content
F1 The reported transaction was effected pursuant to a Rule 10b5-1 trading plan adopted by the Reporting Person on September 8, 2023.
F2 Represents the weighted average sale price. The lowest price at which shares were sold was $59.32 and the highest price at which shares were sold was $60.31. The Reporting Person undertakes to provide upon request to the staff of the Securities and Exchange Commission, the Issuer or its stockholders, full information regarding the total number of shares sold at each separate price within the ranges set forth in footnotes (2) through (6) to this Form 4.
F3 Represents the weighted average sale price. The lowest price at which shares were sold was $60.32 and the highest price at which shares were sold was $61.19.
F4 Represents the weighted average sale price. The lowest price at which shares were sold was $59.16 and the highest price at which shares were sold was $60.13.
F5 Represents the weighted average sale price. The lowest price at which shares were sold was $60.17 and the highest price at which shares were sold was $61.16.
F6 Represents the weighted average sale price. The lowest price at which shares were sold was $61.17 and the highest price at which shares were sold was $61.59.
F7 These securities are held by a grantor retained annuity trust for the benefit of the Reporting Person ("GRAT 1"). On January 5, 2024, 3,243,799 shares of the Issuer's Common Stock were transferred from GRAT 1 to the Reporting Person.
F8 These securities are held by a grantor retained annuity trust for the benefit of the Reporting Person's spouse ("GRAT 2"). On January 5, 2024, 3,243,799 shares of the Issuer's Common Stock were transferred from GRAT 2 to the Reporting Person's spouse.
F9 The options are fully vested.