Form 4: Allegro MicroSystems SVP, CHRO Erin Hagen Receives Restricted Stock Units

Erin Hagen, SVP, CHRO of Allegro MicroSystems, was granted 11,002 Restricted Stock Units (RSUs) on May 13, 2024, which will vest in two equal annual installments starting May 16, 2025.

Summary

• This Form 4 filing reports a change in beneficial ownership for Erin Hagen, SVP, CHRO of Allegro MicroSystems, Inc.
• On May 13, 2024, Hagen was granted 11,002 Restricted Stock Units (RSUs).
• Each RSU represents a contingent right to receive one share of common stock.
• The RSUs will vest in two equal annual installments beginning on May 16, 2025.
• Following the transaction, Hagen beneficially owns 11,002 shares of common stock.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. It reflects a standard executive compensation practice, indicating confidence in the executive's role and the company's future.

Positives

• The grant of RSUs aligns the executive's interests with those of the shareholders, incentivizing performance and long-term value creation.

Future Outlook

The RSUs will vest in the future, contingent on continued employment and other potential conditions.

Industry Context

Equity compensation is a common practice in the technology industry to attract and retain top talent and align their interests with those of the company's shareholders. The size and vesting schedule of the RSU grant are typical for executive compensation packages.

Comparison to Industry Standards

• Comparing Allegro MicroSystems' executive compensation practices with those of its peers, such as Texas Instruments (TXN) or Analog Devices (ADI), would provide a benchmark for assessing the competitiveness and appropriateness of the RSU grant to Erin Hagen.
• These companies often use a mix of salary, bonus, and equity-based compensation to incentivize their executives.
• The specific terms of the RSU grant, such as the vesting schedule and the number of units granted, can be compared to similar grants made by these companies to executives in comparable roles.

Stakeholder Impact

• Shareholders may view the RSU grant positively as it aligns executive interests with long-term company performance.
• Employees may see it as a sign of the company's commitment to its leadership team.

Key Dates