Form 4: Champion Homes Executive Jonathan Lyall Reports Stock Transactions

Jonathan Wade Lyall, EVP of Sales/Business Development at Champion Homes, reports acquisition and disposal of company stock, including restricted stock units and performance-based restricted stock units.

Summary

• On March 20, 2025, Jonathan Wade Lyall disposed of 767 shares of Champion Homes common stock at a price of $94.94.
• On March 25, 2025, Lyall acquired 4,887 restricted stock units (RSUs) and 4,887 performance-based restricted stock units (PRSUs) under the company's 2018 Equity Incentive Plan.
• Following these transactions, Lyall beneficially owns 41,869 shares of Champion Homes common stock.
• The RSUs vest in three equal installments on the anniversaries of March 25, 2025, contingent upon continuous service.
• The vesting of the PRSUs is 60% dependent on the company's total shareholder return relative to peers from March 25, 2025, to March 25, 2028, and 40% dependent on the company's market share of single-family completions as of January 31, 2028, also contingent upon continuous service.

Sentiment

Score: 5

Explanation: The document primarily reports stock transactions and grants of equity compensation, which are neutral events. The sentiment is therefore considered neutral.

Risks

• The vesting of RSUs and PRSUs is contingent upon Jonathan Lyall's continuous service with Champion Homes.
• The vesting of PRSUs is dependent on the company's performance relative to its peers and its market share, which are subject to market conditions and competitive pressures.

Future Outlook

The vesting of RSUs and PRSUs is tied to future service and performance metrics, indicating an incentive for continued contribution to the company's success.

Industry Context

Executive compensation in the form of stock and performance-based units is a common practice in the industry to align management's interests with those of shareholders.

Comparison to Industry Standards

• Granting restricted stock units (RSUs) and performance-based restricted stock units (PRSUs) is a common practice among publicly traded companies to incentivize executives.
• Companies like D.R. Horton, Lennar, and NVR also utilize similar equity-based compensation plans.
• The specific vesting conditions, such as total shareholder return and market share targets, are tailored to Champion Homes' strategic goals and competitive landscape.

Stakeholder Impact

• The equity grants align executive interests with shareholder value.
• The performance-based vesting criteria could incentivize management to focus on strategies that benefit shareholders.

Key Dates

Keywords

Form 4, Champion Homes, Stock Transaction, Restricted Stock Units, Performance-Based Restricted Stock Units, Beneficial Ownership, Equity Incentive Plan, Insider Trading