Form 4: Garrett Motion CEO Sells Shares for Tax Obligations

Garrett Motion Inc. CEO Olivier Rabiller reported the disposition of shares to cover tax liabilities from vested restricted and performance-based stock units.

Summary

• Olivier Rabiller, President & CEO and Director of Garrett Motion Inc. (GTX), reported changes in beneficial ownership.
• On February 17, 2026, Rabiller disposed of 27,554 shares of Common Stock at a price of $20.62 per share. These shares were withheld by Garrett Motion Inc. to cover tax liabilities incurred upon the partial vesting of restricted stock units granted on February 17, 2023.
• On the same date, Rabiller also disposed of 205,409 shares of Common Stock at a price of $20.62 per share. These shares were withheld for tax liabilities incurred upon the vesting of performance-based stock units granted on February 17, 2023.
• Following the first reported transaction, Rabiller beneficially owns 1,540,955 shares directly.
• Following the second reported transaction, Rabiller beneficially owns 1,335,546 shares directly.

Sentiment

Score: 6

Explanation: StockSavvy.ai views this as a routine, expected transaction related to executive compensation vesting, which is generally neutral but reflects the achievement of prior performance goals.

Positives

• The transactions represent the vesting of previously granted restricted stock units and performance-based stock units, indicating the achievement of performance milestones or tenure requirements by the CEO.

Negatives

• The disposition of a total of 232,963 shares (27,554 + 205,409) by the CEO, although for tax purposes, results in a reduction of his direct beneficial ownership.

Future Outlook

The filing does not contain any forward-looking statements or guidance regarding the company's future outlook.

Industry Context

StockSavvy.ai notes that tax-related dispositions of equity awards are a common and routine occurrence for executives and do not typically signal a change in management's confidence in the company's future prospects.

Comparison to Industry Standards

• Tax withholding upon the vesting of equity awards is a standard practice across various industries for executives receiving stock-based compensation. For instance, executives at major technology companies like Google (Alphabet) or pharmaceutical giants like Pfizer routinely have shares withheld to cover tax obligations when their restricted stock units or performance shares vest, reflecting a common mechanism for managing equity compensation.

Corporate Governance

Related Party Transactions

• Garrett Motion Inc. withheld shares from its CEO, Olivier Rabiller, to cover tax liabilities associated with the vesting of his equity awards. This is a common practice in executive compensation.

Stakeholder Impact

• Shareholders: The disposition of shares for tax purposes is a standard component of executive compensation plans and does not typically indicate a change in the company's fundamental value or outlook. The underlying vesting event can be seen as a positive indicator of executive performance or tenure.
• Employees: No direct impact on employees is indicated by this filing.

Key Dates

Recommendation

This Form 4 reports a routine, non-discretionary disposition of shares by the CEO to cover tax liabilities upon the vesting of equity awards. Such transactions are common and do not typically indicate a change in management's outlook or warrant a change in investment recommendation. The underlying vesting event is a positive sign of performance or tenure, but the sale itself is neutral.

Keywords

Garrett Motion, GTX, Olivier Rabiller, Form 4, insider transaction, equity compensation, restricted stock units, performance stock units, tax withholding, CEO stock sale