Form 4: Builders FirstSource EVP Timothy Johnson Reports Changes in Beneficial Ownership
SEC Form 4
EVP & General Counsel of Builders FirstSource, Timothy Johnson, reports acquisition and disposal of company stock due to vesting of restricted stock units and tax withholding.
Summary
- On March 15, 2024, Timothy Johnson, EVP & General Counsel of Builders FirstSource, reported changes in beneficial ownership of the company's stock.
- He acquired 8,771 shares of common stock at $0.00 due to the vesting of performance-based restricted stock units.
- He disposed of 9,363 shares at $195.49 to cover tax withholding requirements on the vesting of restricted stock units.
- Additionally, he acquired 2,813 restricted stock units, which vest in increments on March 15, 2025, 2026, and 2027.
- Following these transactions, Johnson beneficially owns 69,220 shares of common stock.
Sentiment
Score: 6
Explanation: Neutral sentiment as the filing reflects routine transactions related to executive compensation. The vesting of restricted stock units is a positive sign, but the sale for tax purposes is neutral.
Positives
- The vesting of performance-based restricted stock units suggests that Johnson has met certain performance criteria.
Negatives
- The disposal of shares to cover tax obligations, while common, reduces Johnson's overall holdings.
Future Outlook
The reporting person will receive shares of common stock as the restricted stock units vest in the future, contingent on continued employment or other vesting conditions.
Industry Context
Form 4 filings are routine disclosures for corporate insiders and provide transparency into their trading activities, which can be an indicator of their confidence in the company's prospects.
Stakeholder Impact
- The transactions have a minimal direct impact on stakeholders, as they are related to executive compensation and tax obligations.
Key Dates
| Date | Description |
|---|---|
| 03/15/2024 | Date of transactions: acquisition and disposal of shares, acquisition of restricted stock units. |
| 03/15/2025 | First vesting date for the acquired restricted stock units (33.33%). |
| 03/15/2026 | Second vesting date for the acquired restricted stock units (33.33%). |
| 03/15/2027 | Final vesting date for the acquired restricted stock units (33.33%). |
| 03/19/2024 | Date of signature on the Form 4 filing. |
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