Form 4: Fortive Officer Accrues Phantom Shares in Deferred Plan

Fortive's SVP Chief People Officer, Amee Desjourdy, accrued 1.18 notional dividend shares in the company's Executive Deferred Incentive Program.

Summary

• Amee Desjourdy, SVP Chief People Officer of Fortive Corp, acquired 1.18 notional dividend accruals on phantom shares.
• These accruals are part of the Executive Deferred Incentive Program (EDIP) Fortive Stock Fund.
• The notional shares were credited based on a closing price of $53.92 per share on March 27, 2026.
• Following this transaction, Desjourdy beneficially owns 1,064.16 derivative securities (phantom shares).
• The notional shares convert to common stock on a one-to-one basis.
• Vesting for voluntary contributions to the EDIP Stock Fund is immediate (100%).
• Issuer contributions vest 100% upon the earlier of the reporting person's death, retirement (following at least 5 years of service and reaching age 55), or one-tenth per year of participation following five years of participation, in accordance with the EDIP.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a moderately positive signal, reflecting a routine executive compensation event that aligns management's long-term interests with shareholder value through equity participation.

Positives

• Increased beneficial ownership for a key executive, aligning interests with shareholders.
• Participation in the Executive Deferred Incentive Program indicates a long-term commitment and retention strategy for key management.

Future Outlook

The filing outlines the vesting schedule for the Executive Deferred Incentive Program, indicating future conversion of phantom shares to common stock upon specific conditions such as retirement or termination of employment.

Industry Context

StockSavvy.ai notes that deferred compensation plans, particularly those tied to company stock, are common mechanisms used by corporations to align executive incentives with long-term shareholder value. This transaction reflects a standard practice in executive compensation within the industrial technology sector, similar to programs seen at companies like Danaher or Roper Technologies, which also utilize equity-based incentives for their leadership.

Comparison to Industry Standards

• The use of phantom shares and deferred incentive programs is a standard practice in executive compensation across various industries, including industrial technology. Companies like Danaher Corporation and Roper Technologies, often considered peers or comparables to Fortive, also employ similar long-term incentive plans to retain key talent and align executive interests with shareholder returns.
• The vesting schedule, which includes immediate vesting for voluntary contributions and performance/time-based vesting for issuer contributions (e.g., 5 years of service and age 55 for retirement), is consistent with typical industry benchmarks designed to encourage long-term commitment and discourage short-term decision-making.

Stakeholder Impact

• Shareholders: Positive impact due to increased alignment of executive incentives with long-term company performance.
• Employees: No direct impact on general employees, but reinforces the company's executive retention strategy.

Next Steps

• Continued participation in the Executive Deferred Incentive Program.
• Future conversion of vested phantom shares into common stock upon specific conditions (e.g., termination of employment, retirement).

Key Dates

Recommendation

This Form 4 filing details a routine accrual of phantom shares as part of an executive's deferred compensation plan. While it indicates continued executive alignment with shareholder interests, it does not present new information significant enough to warrant a change in investment recommendation. It's an expected part of executive compensation and does not reflect a discretionary purchase or sale that would signal a strong bullish or bearish outlook.

Keywords

Fortive Corp, FTV, Form 4, Insider Transaction, Executive Compensation, Phantom Shares, Deferred Compensation, Amee Desjourdy, Stock Fund