Form 4: Elanco Animal Health Executive Acquires Deferred Stock Units

Rajeev A. Modi, an Executive Vice President at Elanco Animal Health, acquired 104,816 deferred stock units on November 29, 2024.

Summary

• Rajeev A. Modi, an Executive Vice President at Elanco Animal Health, acquired 104,816 deferred stock units on November 29, 2024.
• These deferred stock units represent the right to receive one share of Elanco common stock or the cash equivalent.
• The units will settle in cash or shares of common stock following termination of employment or during a specified future year, as per the Executive Deferral and Stock Match Plan.
• The price of the underlying common stock at the time of the transaction was $13.21.
• Following the transaction, Mr. Modi directly owns 2,265.6219 shares of common stock.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to executive compensation, which is generally viewed neutrally to positively. The acquisition of stock units by an executive can be seen as a positive sign of confidence in the company's future.

Positives

• The acquisition of deferred stock units by an executive may indicate confidence in the company's future performance.

Future Outlook

The deferred stock units will settle in cash or shares of common stock following termination of employment or during a specified future year.

Industry Context

This is a routine filing related to executive compensation and is common in publicly traded companies. It reflects the company's compensation strategy and alignment of executive interests with shareholder value.

Comparison to Industry Standards

• Stock-based compensation, including deferred stock units, is a common practice among publicly traded companies, particularly in the pharmaceutical and animal health sectors.
• Companies like Zoetis and IDEXX Laboratories also use similar compensation methods to incentivize their executives.
• The number of units granted and the vesting schedule are typical for executive compensation packages.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns executive interests with the company's performance.

Key Dates

Keywords

Elanco Animal Health, Deferred Stock Units, Executive Compensation, Insider Trading, Stock Ownership, Rajeev A. Modi