Form 4: Dayforce EVP William McDonald Reports Changes in Beneficial Ownership
SEC Form 4
William McDonald, EVP, GC & Corporate Secretary of Dayforce, Inc., reports changes in beneficial ownership of company stock due to vesting of restricted stock units (RSUs) and performance stock units (PSUs), as well as shares withheld for taxes.
Summary
- On February 24, 2024, William McDonald, EVP, GC & Corporate Secretary of Dayforce, Inc., reported changes in beneficial ownership of the company's common stock.
- These changes are due to the vesting of 4,706 shares of common stock subject to an RSU award granted on February 24, 2022, and the vesting of 3,920 shares of common stock subject to a PSU award granted on the same date.
- 1,500 shares were forfeited to cover withholding taxes related to the RSU vesting at a price of $71.42 per share.
- 1,200 shares were forfeited to cover withholding taxes related to the PSU vesting at a price of $71.42 per share.
- McDonald also acquired 3,920 shares through the conversion of PSUs.
- Following these transactions, McDonald directly owns 55,163 shares of common stock.
- McDonald also holds various options and performance units that could convert into common stock in the future.
Sentiment
Score: 5
Explanation: The document is a standard regulatory filing detailing stock transactions. It doesn't inherently convey positive or negative sentiment, but rather provides factual information about changes in ownership.
Future Outlook
The document outlines future vesting dates for RSUs and PSUs, indicating potential future increases in the reporting person's holdings of Dayforce common stock.
Industry Context
This filing is a routine disclosure related to executive compensation and equity ownership, common in publicly traded companies. It provides transparency regarding the alignment of executive interests with those of shareholders.
Comparison to Industry Standards
- Equity compensation is a standard practice across the technology industry, with companies like Workday, Salesforce, and Oracle utilizing stock options, RSUs, and PSUs to incentivize and retain key executives.
- The vesting schedules and performance metrics associated with these equity awards are typically designed to align executive compensation with company performance and shareholder value creation.
- The specific terms of Dayforce's equity compensation plans, such as the vesting periods and performance targets, would need to be compared to those of its peers to assess their competitiveness and effectiveness.
Stakeholder Impact
- Shareholders may be interested in the information as it provides insight into executive compensation and ownership structure.
- The transactions have a minor impact on the total number of outstanding shares due to the vesting of equity awards and shares withheld for taxes.
Key Dates
| Date | Description |
|---|---|
| 03/08/2021 | Grant date of restricted stock units (RSUs) of which 1,544 shares vest on March 8, 2024 |
| 08/06/2021 | Grant date of restricted stock units (RSUs) of which 813 shares vest on August 6, 2024 |
| 02/24/2022 | Grant date of RSU and PSU awards; vesting of 4,706 RSU shares and 3,920 PSU shares occurred on February 24, 2024 |
| 05/08/2023 | 10,724 options are vested and exercisable as of this date. |
| 02/28/2023 | Grant date of RSUs and PSUs, with vesting occurring on February 28, 2024, February 28, 2025, and February 28, 2026 |
| 02/24/2024 | Date of transaction: vesting of RSUs and PSUs, forfeiture of shares for taxes, and acquisition of shares through PSU conversion |
| 02/27/2024 | Date of signature for the Form 4 filing |
| 03/08/2024 | Vesting date of 1,544 PSUs granted on March 8, 2021 |
| 05/08/2024 | 3,575 options vest and become exercisable on this date. |
| 08/06/2024 | Vesting date of 813 shares of Common Stock issuable pursuant to RSUs, granted on August 6, 2021 |
| 02/24/2025 | Vesting date of 4,706 shares of Common Stock issuable pursuant to RSUs, granted on February 24, 2022 |
| 02/28/2026 | Vesting date of PSUs granted on February 28, 2023 |
Disclaimer:The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.