Form 4: Clorox Executive Granted 7,208 Restricted Stock Units

Clorox EVP-Group President Chris T Hyder received a grant of 7,208 restricted stock units, vesting over four years.

Summary

• Chris T Hyder, EVP-Group Pres -Hlth & Hyg at Clorox Co, acquired 7,208 shares of common stock in the form of Restricted Stock Units (RSUs).
• The transaction occurred on September 16, 2025, with a deemed price of $124.85 per share.
• Following this acquisition, Hyder beneficially owns a total of 29,325 shares of common stock.
• The Restricted Stock Units will vest in four equal installments, with the first vesting on October 5, 2026, and subsequent installments on October 5, 2027, 2028, and 2029.

Sentiment

Score: 7

Explanation: The grant of Restricted Stock Units to a key executive is a positive signal, indicating executive retention and alignment with shareholder interests, though it's a routine compensation event rather than a significant new development.

Positives

• The grant of Restricted Stock Units aligns executive interests with long-term shareholder value.
• Indicates continued commitment and retention of a key executive within the company.

Future Outlook

The vesting schedule for the Restricted Stock Units extends through October 2029, indicating a long-term incentive structure designed to retain the executive and align their performance with the company's future success.

Industry Context

Executive compensation through equity grants like Restricted Stock Units is a common practice across various industries, including consumer goods, to incentivize long-term performance and align management interests with shareholders. This grant is consistent with typical executive compensation strategies.

Comparison to Industry Standards

• Equity-based compensation, specifically Restricted Stock Units (RSUs), is a standard practice for executive incentives in large consumer goods companies such as Procter & Gamble (PG) and Kimberly-Clark (KMB).
• The four-year vesting schedule for these RSUs is typical for such grants, aiming to retain executives and encourage sustained performance, comparable to similar programs at industry peers.

Stakeholder Impact

• Shareholders: Positive alignment of executive incentives with long-term shareholder value.
• Employees: May signal stability in executive leadership and a consistent approach to compensation.

Next Steps

• Vesting of 1/4 of the Restricted Stock Units on October 5, 2026.
• Vesting of 1/4 of the Restricted Stock Units on October 5, 2027.
• Vesting of 1/4 of the Restricted Stock Units on October 5, 2028.
• Vesting of 1/4 of the Restricted Stock Units on October 5, 2029.

Key Dates

Recommendation

This Form 4 reports a routine grant of Restricted Stock Units to a senior executive, which is a standard component of executive compensation designed to align management interests with long-term shareholder value. While positive for executive retention and incentive alignment, it does not present new information that would fundamentally alter the investment thesis for Clorox, thus a 'hold' recommendation is appropriate for existing investors.

Keywords

Clorox, CLX, Restricted Stock Units, RSU, Executive Compensation, Insider Transaction, Chris T Hyder, Stock Grant