Form 4: Elevance Health Director Ramiro G Peru Reports Acquisition of Deferred Stock Units

Director Ramiro G Peru reports the acquisition of 388 deferred stock units in Elevance Health, Inc.

Summary

• On May 15, 2024, Ramiro G Peru, a director of Elevance Health, Inc. (ELV), acquired 388 deferred stock units.
• These units were accrued under the company's Board of Directors Compensation Program.
• The deferred stock units will be payable in Elevance Health common stock upon the earlier of (a) five years from the grant date or (b) the date Peru ceases to be a board member, unless a later date is designated.
• Following the transaction, Peru directly owns 9,497 shares of Elevance Health common stock.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. It reflects a routine transaction indicating standard compensation practices and alignment of director interests with the company's long-term performance.

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 a significant number of shares (9,497) 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

Form 4 filings are routine disclosures required by the SEC to provide transparency into the transactions of company insiders. This filing indicates standard compensation practices for board members.

Comparison to Industry Standards

• Director compensation packages often include deferred stock units to align director interests with shareholder value, a common practice among publicly traded companies like UnitedHealth Group (UNH) and Cigna (CI).
• The vesting schedule of five years or upon departure from the board is typical for such grants, similar to arrangements seen at Humana (HUM) and CVS Health (CVS).

Stakeholder Impact

• The acquisition of deferred stock units by a director can positively influence shareholder confidence by demonstrating a commitment to the company's success.

Key Dates