Form 4: Flowserve Director Chand Sujeet Reports Acquisition of Phantom Stock

Director Chand Sujeet reported acquiring phantom stock in Flowserve Corp, representing deferred director compensation.

Summary

• On May 16, 2025, Director Chand Sujeet acquired 3,099 shares of phantom stock in Flowserve Corp (FLS) at a price of $51.62 per share.
• This acquisition increases the director's holdings to 25,853 shares of phantom stock.
• The phantom stock represents deferred director compensation and is the economic equivalent of common stock.
• The shares become payable in the form of common stock upon termination of service as a board member.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. The acquisition of phantom stock by a director is a routine event and indicates alignment with company performance. There are no explicitly negative aspects.

Positives

• The acquisition of phantom stock aligns the director's interests with the long-term performance of the company.
• Deferred compensation in the form of stock can be seen as a positive sign of confidence in the company's future.

Industry Context

Director compensation in the form of stock is a common practice in publicly traded companies to align the interests of directors with shareholders. Phantom stock is a type of equity compensation that provides directors with the benefits of stock ownership without actually issuing shares until a later date, typically upon retirement or termination of service.

Comparison to Industry Standards

• Director compensation packages vary widely across industries and company sizes.
• Companies like General Electric and Siemens also use deferred stock units as part of their director compensation plans.
• The amount of phantom stock granted to Chand Sujeet is within the typical range for directors of companies with similar market capitalization to Flowserve.

Stakeholder Impact

• The acquisition of phantom stock by a director can have a slightly positive impact on shareholder confidence, as it aligns the director's interests with the company's long-term success.

Key Dates

Keywords

Flowserve, Director, Phantom Stock, Chand Sujeet, Deferred Compensation, FLS, Form 4