Form 4: Dayforce EVP Joseph Korngiebel Reports Stock Transactions Following RSU and PSU Vesting
SEC Form 4
Dayforce's EVP, CPTO Joseph Korngiebel, reports the forfeiture of shares to cover withholding taxes upon the vesting of restricted stock units (RSUs) and performance stock units (PSUs), while also reporting holdings of common stock and performance units.
Summary
- On February 28, 2024, Joseph Korngiebel, EVP, CPTO of Dayforce, Inc., reported transactions related to the vesting of common stock associated with restricted stock units (RSUs) and performance stock units (PSUs).
- Korngiebel forfeited 4,633 shares of common stock at $71.05 per share to cover withholding taxes related to the vesting of 9,141 shares from an RSU award granted on February 28, 2023.
- An additional 1,201 shares were forfeited at $71.05 per share to cover taxes on the vesting of 2,369 shares from a PSU award granted on February 28, 2023.
- Another 3,765 shares were forfeited at $71.05 per share to cover taxes on the vesting of 7,428 shares from another PSU award granted on February 28, 2023.
- Following these transactions, Korngiebel directly owns 114,473 shares of common stock.
- Korngiebel also holds performance units that will convert into common stock upon vesting, contingent on company performance.
Sentiment
Score: 7
Explanation: The sentiment is neutral to slightly positive. The transactions are routine and reflect standard compensation practices. The executive's continued holdings suggest confidence in the company's future.
Positives
- The reporting person continues to hold a significant number of shares and performance units, indicating continued alignment with the company's success.
Future Outlook
The reporting person holds additional RSUs and PSUs that will vest in the future, contingent on continued service and/or the achievement of performance metrics.
Industry Context
Form 4 filings are standard disclosures required by the SEC to provide transparency into the transactions of company insiders, allowing investors to track ownership changes and potential alignment of interests.
Comparison to Industry Standards
- Executive compensation packages often include a mix of salary, stock options, restricted stock units (RSUs), and performance stock units (PSUs) to incentivize performance and align executive interests with shareholder value.
- The vesting schedules and performance metrics associated with RSUs and PSUs are typically designed to reward long-term value creation and retention.
- Companies like Workday and Oracle also utilize similar equity-based compensation strategies for their executives.
Stakeholder Impact
- The transactions have a minimal direct impact on stakeholders, as they primarily involve internal compensation arrangements.
- Transparency in executive compensation helps maintain investor confidence.
Next Steps
- The reporting person will continue to hold and potentially trade shares of Dayforce, Inc., subject to insider trading policies and regulations.
- Future vesting of RSUs and PSUs will occur on scheduled dates, contingent on continued service and/or achievement of performance metrics.
Key Dates
| Date | Description |
|---|---|
| 03/08/2021 | Grant date of performance stock units (PSUs) that will convert into common stock upon vesting based on the company's performance in 2021. |
| 02/24/2022 | Grant date of performance stock units (PSUs) that will convert into common stock upon vesting based on the company's performance in 2022. |
| 02/28/2023 | Grant date of restricted stock units (RSUs) and performance stock units (PSUs) that vested on February 28, 2024. |
| 02/28/2024 | Date of reported transactions involving the forfeiture of shares for tax withholding upon vesting of RSUs and PSUs. |
| 03/01/2024 | Date of signature for the Form 4 filing. |
| 03/08/2024 | Vesting date of 6,177 performance stock units (PSUs) granted on March 8, 2021. |
| 02/24/2025 | Vesting date of 5,880 performance stock units (PSUs) granted on February 24, 2022. |
| 02/28/2025 | Vesting date of 9,141 shares of common stock issuable pursuant to RSUs granted on February 28, 2023. |
| 02/28/2026 | Vesting date of 9,141 shares of common stock issuable pursuant to RSUs granted on February 28, 2023. |
| 02/28/2026 | PSUs will only vest if the achievement of the performance metric under the PSU award agreement is certified to have been met by the Compensation Committee or the Board of Directors of the Company, and then any such certified amount will vest on February 28, 2026. |
| 02/28/2033 | Expiration date for Performance Units. |
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