Form 4: Energy Recovery SVP Sells Shares for Tax Obligations
Insider Transaction Report
Energy Recovery's SVP of Water, Rodney Clemente, disposed of 9,091 shares of common stock to satisfy tax obligations related to vested securities.
Summary
- Rodney Clemente, SVP, Water of Energy Recovery, Inc. (ERII), reported transactions on January 30, 2026.
- Clemente disposed of 694 shares of common stock at a price of $14.65 per share.
- Clemente also disposed of 8,397 shares of common stock at a price of $14.30 per share.
- These dispositions were made to satisfy tax withholding obligations incident to the vesting of securities, in accordance with Rule 16b-3(e).
- Following these transactions, Clemente beneficially owns 91,674 shares of Energy Recovery, Inc. common stock.
- A Power of Attorney, dated March 14, 2025, was filed, appointing David Moon, Michael Mancini, and William Yeung as attorneys-in-fact for Section 16 filings on behalf of Rodney Clemente.
Sentiment
Score: 5
Explanation: StockSavvy.ai views this as a neutral event. The transactions are routine tax-related sales of vested shares and do not reflect a change in the company's operational or financial outlook.
Future Outlook
The filing does not contain any forward-looking statements or guidance regarding the company's future performance or strategic direction.
Industry Context
StockSavvy.ai notes that the disposition of shares by executives to cover tax obligations upon the vesting of equity awards is a common and routine practice across publicly traded companies. This type of transaction is typically not indicative of an executive's sentiment towards the company's future prospects but rather a standard compensation and tax management event.
Corporate Governance
| Change Type | Description | Effective Date | Impact Assessment |
|---|---|---|---|
| Power of Attorney Appointment | Rodney Clemente, SVP, Water, executed a new Power of Attorney, revoking previous ones and appointing David Moon, Michael Mancini, and William Yeung as attorneys-in-fact to prepare and execute Section 16 filings (Forms ID, 3, 4, and 5) on his behalf. | 03/14/2025 | This streamlines the process for timely and accurate insider transaction reporting, ensuring compliance with SEC regulations. |
Stakeholder Impact
- Minimal impact on shareholders as this is a routine, tax-related transaction by an executive, not indicative of a change in company fundamentals or strategy.
Key Dates
| Date | Description |
|---|---|
| 03/14/2025 | Date Power of Attorney was executed by Rodney Clemente. |
| 01/30/2026 | Date of common stock transactions by Rodney Clemente. |
| 02/03/2026 | Date the Form 4 was signed by attorney-in-fact for Rodney Clemente. |
Recommendation
holdThe filing details a routine insider transaction for tax purposes, which is a common occurrence and does not provide new information that would alter the fundamental investment thesis for Energy Recovery, Inc. Investors should maintain their current position based on broader company performance and market conditions.
Keywords
Energy Recovery, ERII, Rodney Clemente, Insider Transaction, Form 4, Stock Sale, Executive Compensation, Tax Withholding, Corporate Governance
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