Form 4: Elevance Health Director Lewis Hay III Acquires Deferred Stock Units

Director Lewis Hay III acquired 388 deferred stock units of Elevance Health, Inc. on May 15, 2024, under the company's Board of Directors Compensation Program.

Summary

• On May 15, 2024, Lewis Hay III, a director of Elevance Health, Inc., acquired 388 deferred stock units.
• These units were accrued under the Elevance Health, Inc. Board of Directors Compensation Program.
• The deferred stock units will be payable in Company common stock upon the earlier of (a) five years from the grant date or (b) the date the Reporting Person ceases to be a member of the Company's board of directors, unless a later date is designated in the Reporting Person's election made under the Company's Board of Directors Deferred Compensation Plan.
• Following the transaction, Hay beneficially owns 10,906 shares of common stock.

Sentiment

Score: 6

Explanation: The sentiment is neutral. It reflects a standard director compensation transaction with no immediate positive or negative implications.

Positives

• The acquisition of deferred stock units aligns the director's interests with the long-term performance of the company.
• The director's continued holding of 10,906 shares indicates confidence in the company's future.

Future Outlook

The deferred stock units will be payable in Company common stock upon the first to occur of (a) five years from the date of grant or (b) the date the Reporting Person ceases to be a member of the Company's board of directors, unless a later date is designated in the Reporting Person's election made under the Company's Board of Directors Deferred Compensation Plan.

Industry Context

Director stock acquisitions are common in publicly traded companies as part of compensation packages to align management interests with shareholder value. This transaction is typical for director compensation programs.

Comparison to Industry Standards

• Director compensation packages often include deferred stock units as a means of aligning their interests with the long-term performance of the company, similar to practices at companies like UnitedHealth Group (UNH) and CVS Health (CVS).
• The vesting schedule of five years or upon departure from the board is a standard practice to ensure continued commitment and oversight.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns the director's interests with the company's long-term success.

Key Dates