Form 4: Applied Digital Corp. Director Douglas S. Miller Acquires 28,606 Shares Through Restricted Stock Units

Director Douglas S. Miller of Applied Digital Corp. acquired 28,606 shares of common stock through restricted stock units (RSUs) granted for board service.

Summary

• Douglas S. Miller, a director at Applied Digital Corp., received 28,606 shares of common stock.
• These shares were granted as restricted stock units (RSUs) for his service on the board.
• The RSUs were granted on December 27, 2024, and have no expiration date.
• The RSUs will vest in full on November 20, 2025, provided Mr. Miller continues his board service through that date.
• The RSUs convert into common stock on a one-for-one basis.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction of equity compensation for a director, which is generally viewed positively as it aligns interests. There are no negative implications.

Positives

• The grant of RSUs to a director aligns their interests with the company's long-term performance.
• The vesting period of the RSUs encourages continued service on the board.

Future Outlook

The RSUs will vest on November 20, 2025, contingent on the director's continued service.

Industry Context

The granting of restricted stock units to board members is a common practice in corporate governance to align the interests of directors with those of shareholders.

Comparison to Industry Standards

• Granting restricted stock units to non-employee directors is a standard practice across many publicly traded companies.
• The vesting period of approximately 11 months is within the typical range for such grants.
• Companies like AMD, NVDA, and INTC also use similar equity compensation methods for their board members.

Stakeholder Impact

• The grant of RSUs aligns the director's interests with those of shareholders, potentially leading to better corporate governance and decision-making.
• The vesting period encourages the director's continued service, which can benefit the company.

Next Steps

• The director will need to continue their service on the board until November 20, 2025, for the RSUs to vest.

Key Dates

Keywords

restricted stock units, RSUs, director, stock acquisition, board service, Applied Digital Corp., APLD, equity compensation