Form 4: Garrett Motion VP's Stock Withholding for Tax

Garrett Motion Inc. VP, CAO, and Controller Joanne Lau reported the withholding of shares for tax obligations related to the vesting of restricted and performance-based stock units.

Summary

• Joanne Lau, VP, CAO, and Controller of Garrett Motion Inc. (GTX), reported transactions involving the company's common stock.
• On February 17, 2026, 292 shares of common stock were withheld by Garrett Motion Inc. for tax liability upon the partial vesting of restricted stock units (RSUs) granted on February 17, 2023.
• On the same date, an additional 868 shares of common stock were withheld for tax liability upon the vesting of performance-based stock units (PSUs) also granted on February 17, 2023.
• The price per share for these transactions was $20.62.
• Following these transactions, Joanne Lau beneficially owns 134,950 shares of Garrett Motion Inc. common stock.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this as a neutral event, representing a routine administrative transaction related to executive compensation rather than a strategic or operational development for the company.

Positives

• The underlying restricted stock units and performance-based stock units vested, indicating the achievement of performance criteria or time-based conditions.
• The vesting of these units represents a realized gain for the executive.

Negatives

• A total of 1,160 shares (292 RSUs + 868 PSUs) were withheld by the company to cover tax liabilities, reducing the executive's direct beneficial ownership.

Industry Context

StockSavvy.ai notes that this Form 4 filing details a routine insider transaction related to executive compensation. The withholding of shares for tax purposes upon the vesting of equity awards is a common practice across industries, reflecting the standard mechanism for executives to cover tax obligations arising from their compensation.

Comparison to Industry Standards

• The practice of withholding shares to cover tax liabilities upon the vesting of restricted stock units (RSUs) and performance-based stock units (PSUs) is a standard industry practice for equity compensation plans, aligning with common practices seen at companies like Honeywell, BorgWarner, and other automotive technology suppliers.
• The reported share price of $20.62 for the transaction is specific to Garrett Motion Inc. (GTX) and reflects its market valuation at the time of vesting, which can be compared to the stock performance of peers in the automotive technology sector.

Stakeholder Impact

• Shareholders: Minimal direct impact, as this is a routine executive compensation event and not a sale into the open market.
• Employees: No direct impact on general employees, but it reflects standard executive compensation practices.

Key Dates

Keywords

Garrett Motion, GTX, Joanne Lau, Form 4, Insider Transaction, Stock Units, Restricted Stock Units, Performance Stock Units, Tax Withholding, Executive Compensation