Form 4: Carrier Global Corp: Senior VP & CFO Goris Patrick P. Reports Stock Appreciation Right Award

Patrick P. Goris, Senior VP & CFO of Carrier Global Corp, reports the acquisition of stock appreciation rights and performance share units.

Summary

• On February 6, 2025, Patrick P. Goris, the Senior VP & CFO of Carrier Global Corp, reported a transaction.
• Goris was awarded 97,405 Stock Appreciation Rights (SARs) with an exercise price of $65.21, expiring on February 5, 2035.
• These SARs become exercisable on February 6, 2028.
• Additionally, Goris was awarded 26,670 Performance Share Units (PSUs) under the Carrier Global Corporation 2020 Long-Term Incentive Plan.
• Each PSU represents a contingent right to receive one share of Carrier Global Corporation common stock.
• The PSUs vest on the third anniversary of the grant date, contingent upon continued employment and the achievement of pre-established performance targets for earnings per share growth and total shareholder return relative to a subset of industrial companies in the S&P 500 index over a three-year period.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. The granting of stock options and performance share units is a standard practice that aligns management's interests with shareholders. The vesting requirements suggest a focus on long-term performance.

Positives

• The award of Stock Appreciation Rights and Performance Share Units aligns the executive's interests with those of the shareholders.
• The vesting conditions for the PSUs incentivize long-term performance and shareholder value creation.

Risks

• The value of the Stock Appreciation Rights is dependent on the future stock price of Carrier Global Corp.
• The vesting of the Performance Share Units is contingent upon achieving specific performance targets, which may not be met.

Future Outlook

The document does not contain specific forward-looking statements beyond the vesting and expiration dates of the awarded securities.

Industry Context

This type of equity compensation is common in publicly traded companies to incentivize executives and align their interests with shareholders. The specific performance metrics tied to the PSUs (earnings per share growth and total shareholder return) are standard measures used to evaluate executive performance in the industrial sector.

Comparison to Industry Standards

• Companies like Trane Technologies, Johnson Controls, and Honeywell also utilize stock appreciation rights and performance share units as part of their executive compensation packages.
• The vesting periods and performance metrics are generally aligned with industry standards, focusing on long-term value creation and shareholder returns.
• The specific number of shares or units awarded varies based on the executive's role, performance, and the company's overall compensation strategy.

Stakeholder Impact

• Shareholders may view the equity awards positively as they incentivize management to improve company performance and increase shareholder value.
• Employees may see the awards as a sign of the company's commitment to its leadership team.

Key Dates

Keywords

Stock Appreciation Rights, Performance Share Units, CARR, Carrier Global Corp, Goris Patrick P., Executive Compensation, Form 4, Insider Trading