Form 4: FSBC COO Sells Shares in Pre-Planned Transaction

Five Star Bancorp's EVP & Chief Operating Officer, Lydia Ann Ramirez-Medina, sold 825 shares of common stock for approximately $30.94 per share as part of a pre-arranged trading plan.

Summary

• Lydia Ann Ramirez-Medina, EVP & Chief Operating Officer of Five Star Bancorp (FSBC), sold 825 shares of common stock.
• The transaction occurred on August 15, 2025, at a price of $30.9438 per share.
• This sale was conducted under a Rule 10b5-1(c) pre-arranged trading plan.
• Following this transaction, Ms. Ramirez-Medina directly beneficially owns 11,960 shares of Five Star Bancorp common stock.
• Her beneficial ownership includes shares granted under the Five Star Bancorp 2021 Equity Incentive Plan, with a portion already vested and the remainder scheduled to vest over future periods, contingent on continued employment.

Sentiment

Score: 6

Explanation: The sale is a pre-planned transaction under Rule 10b5-1, which typically mitigates negative sentiment associated with insider sales. The executive retains a substantial number of shares, indicating continued alignment with shareholder interests.

Positives

• The transaction was executed under a Rule 10b5-1(c) plan, indicating a pre-scheduled sale rather than a reaction to new information.
• The EVP & COO retains significant beneficial ownership of 11,960 shares, aligning her interests with shareholders.

Negatives

• An insider sale, even if pre-planned, reduces the direct ownership stake of a key executive.

Future Outlook

NA

Industry Context

NA

Related Party Transactions

• The filing details an insider transaction where a key executive sold company stock, which is a form of related party transaction.

Stakeholder Impact

• Shareholders: The sale by a key executive could be viewed with slight caution, but its pre-planned nature (Rule 10b5-1) and the executive's retained significant ownership mitigate concerns about a lack of confidence.
• Employees: The continued vesting schedules for equity incentive plan shares indicate ongoing retention incentives for the executive.

Next Steps

• Continued vesting of 867 shares from the 4,332 grant over the remainder of a five-year period.
• Continued vesting of 4,800 shares from the 6,000 grant over the remainder of a five-year period.
• Vesting of 3,629 shares from the 2021 Equity Incentive Plan beginning in 2026 over a five-year period.

Key Dates

Recommendation

The Form 4 filing reports a pre-planned sale by a key executive, which is a routine event for many insiders managing their equity compensation. The sale amount is relatively small, and the executive retains a substantial number of shares, indicating continued alignment with the company's performance. This transaction alone does not provide new fundamental information to warrant a change in investment thesis, thus a 'hold' recommendation is appropriate.

Keywords

Five Star Bancorp, FSBC, Insider Trading, Form 4, Stock Sale, Executive Compensation, Lydia Ann Ramirez-Medina, Rule 10b5-1, Common Stock