Form 4: Graco CIO Exercises Options, Sells Shares

Graco's EVP and Chief Information Officer, Kathryn L. Schoenrock, exercised stock options and subsequently sold a portion of her common stock holdings.

Summary

• Kathryn L. Schoenrock, EVP, Chief Information Officer of Graco Inc. (GGG), reported transactions on February 2, 2026.
• Exercised 3,336 non-qualified stock options at an exercise price of $23.8467 per share.
• Sold 2,223 shares of common stock at a weighted average price of $88.061 per share, with prices ranging from $88.00 to $88.124.
• The transactions were executed under a Rule 10b5-1 plan.
• Following these transactions, Schoenrock beneficially owns 7,846.1025 shares of Graco common stock.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this as a neutral event, typical for executive compensation and personal financial management, especially given the use of a Rule 10b5-1 plan.

Positives

• The transaction was executed under a Rule 10b5-1 plan, indicating a pre-scheduled and transparent approach to insider trading.
• The exercise of stock options allows the executive to realize value from long-term incentive compensation.

Negatives

• The sale of 2,223 shares by a key executive reduces their direct equity stake in the company.

Future Outlook

NA

Industry Context

StockSavvy.ai notes that insider transactions, particularly sales, are common for executives managing their personal portfolios and diversifying holdings, often facilitated by Rule 10b5-1 plans to avoid accusations of trading on material non-public information. Such transactions are typical across various industrial manufacturing companies like Graco.

Comparison to Industry Standards

• Insider sales are a routine part of executive compensation and personal financial planning across industries.
• For example, executives at peer companies in the industrial sector, such as Illinois Tool Works (ITW) or Dover Corporation (DOV), frequently report similar option exercises and share sales as part of their long-term incentive plans and personal wealth management strategies.
• The use of a Rule 10b5-1 plan aligns with best practices for corporate governance in managing insider transactions.

Key Dates

Recommendation

This Form 4 filing details a routine insider transaction involving the exercise of stock options and a subsequent sale of a portion of the acquired shares, executed under a pre-arranged Rule 10b5-1 plan. Such transactions are common for executive compensation and personal financial management and do not typically indicate a change in the company's fundamental outlook or performance. Therefore, the filing itself does not provide new information that would warrant a change in investment recommendation; a 'hold' stance remains appropriate based solely on this report.

Keywords

Graco Inc., GGG, Insider Trading, Form 4, Stock Options, Executive Compensation, Kathryn L Schoenrock, Rule 10b5-1, Stock Sale