Form 4: AZEK Co Inc. Director Hendrickson Acquires Shares Through Deferred Stock Units

Director Gary E. Hendrickson acquired 795 shares of AZEK Co Inc. Class A common stock through deferred stock units.

Summary

• Gary E. Hendrickson, a director at AZEK Co Inc., acquired 795 shares of Class A common stock on December 9, 2024.
• The shares were acquired through deferred stock units (DSUs) granted in lieu of cash compensation under AZEK's Non-Employee Director Compensation Deferral program.
• These DSUs were fully vested at the time of grant and will convert to shares on a one-for-one basis after Hendrickson's departure from the Board of Directors.
• The transaction price was $54.25 per share.
• Following the transaction, Hendrickson directly owns 229,416 shares and indirectly owns 140,892 shares through a trust.

Sentiment

Score: 7

Explanation: The transaction is a routine part of director compensation and indicates confidence in the company's future, but it is not a major event that would significantly impact sentiment.

Positives

• The acquisition of shares by a director can be seen as a positive sign of confidence in the company's future.
• The use of deferred stock units aligns director compensation with long-term company performance.

Future Outlook

The deferred stock units will convert to shares of AZEK Class A common stock on a one-for-one basis following the reporting person's separation from the Board of Directors.

Industry Context

This transaction is a routine filing related to director compensation and is common practice for publicly traded companies.

Comparison to Industry Standards

• The use of deferred stock units for director compensation is a common practice among publicly traded companies, aligning director interests with long-term shareholder value.
• Many companies in the building materials and construction industry, such as Trex Company and Westlake Corporation, also utilize similar compensation structures for their board members.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns director interests with company performance.

Key Dates

Keywords

AZEK Co Inc., Director, Gary E. Hendrickson, Deferred Stock Units, DSU, Class A Common Stock, Beneficial Ownership, SEC Form 4, Director Compensation