Form 4: Altair Engineering CEO James Scapa Receives Stock Options and Restricted Stock Units
SEC Form 4 Filing
James Ralph Scapa, CEO of Altair Engineering Inc., was granted stock options and restricted stock units on March 15, 2024, according to a recent SEC filing.
Summary
- On March 15, 2024, James Ralph Scapa, the CEO of Altair Engineering Inc., received 41,000 Class A Common Stock restricted stock units.
- These restricted stock units will vest in four equal annual installments starting March 15, 2025.
- Scapa also received 123,000 Class A Common Stock options on the same date, with the options vesting in four equal annual installments commencing March 15, 2025.
- Following these transactions, Scapa directly owns 139,605 shares of Class A Common Stock, including 95,042 unvested restricted stock units.
- His wife indirectly owns 1,202 shares of Class A Common Stock, including 20 unvested restricted stock units.
Sentiment
Score: 7
Explanation: The document reflects a standard executive compensation practice, which is generally viewed positively as it aligns management's interests with shareholders. The sentiment is neutral to slightly positive.
Positives
- The grant of stock options and restricted stock units to the CEO aligns his interests with those of the shareholders.
- The vesting schedule encourages long-term commitment from the CEO.
Future Outlook
The document does not contain any specific forward-looking statements beyond the vesting schedules of the granted equity.
Industry Context
Granting stock options and restricted stock units is a common practice in the tech industry to incentivize and retain key executives. The vesting schedule is typical for such grants.
Comparison to Industry Standards
- Equity compensation packages for CEOs in the software and engineering sectors often include a mix of stock options and restricted stock units.
- Vesting schedules of four years with annual installments are standard practice.
- Companies like Ansys and Autodesk also utilize similar equity compensation strategies for their executive teams.
Stakeholder Impact
- Shareholders may view the equity grants positively as they incentivize the CEO to drive long-term value.
- Employees may see the grants as a sign of confidence in the company's future.
Key Dates
| Date | Description |
|---|---|
| 03/15/2024 | Date of transaction: Grant of restricted stock units and stock options to James Scapa. |
| 03/15/2025 | First vesting date for both the restricted stock units and stock options. |
| 03/15/2034 | Expiration date for the stock options. |
| 03/19/2024 | Date of signature of the Form 4 filing. |
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