GHM.NYSEGraham CORP

Form 4: Graham Corp VP Alan E. Smith Reports Stock Disposals for Tax Obligations

Sentiment:

SEC Form 4


Alan E. Smith, VP & General Manager of Graham Corporation's Batavia division, reported the disposal of common stock to cover tax withholding obligations upon the vesting of restricted stock awards.

Summary

  • Alan E. Smith, VP & General Manager Batavia at Graham Corporation, filed a Form 4 detailing changes in beneficial ownership.
  • On June 1, 2024, Smith disposed of 520 shares of common stock at $27.05 to cover tax obligations related to a restricted stock award vesting on June 1, 2021.
  • Additionally, 3,123 shares were disposed of at the same price to cover tax obligations related to a performance stock award also vesting on June 1, 2021.
  • Following these transactions, Smith directly owns 49,351 shares of Graham Corp common stock.
  • Smith also holds restricted stock units that convert into common stock on a one-for-one basis, with varying vesting schedules.

Sentiment

Score: 5

Explanation: This is a routine filing related to stock vesting and tax obligations, and doesn't indicate any significant positive or negative sentiment.

Industry Context

Form 4 filings are a routine part of corporate governance, providing transparency into the transactions of company insiders. These filings are closely watched by investors to gauge management's sentiment and potential future performance.

Comparison to Industry Standards

  • Form 4 filings are standard practice for publicly traded companies and their insiders, as mandated by the SEC.
  • The disposal of shares to cover tax obligations upon vesting of restricted stock units is a common occurrence among executives in publicly traded companies.
  • Comparable companies such as Chart Industries, Inc. and Flowserve Corp also have executives who regularly file Form 4s for similar transactions.

Stakeholder Impact

  • The disposal of shares by a company insider could be perceived negatively by some shareholders, although it is a common practice for covering tax obligations.
  • The transactions have no direct impact on employees, customers, suppliers, or creditors.

Key Dates

DateDescription
06/01/2021Date of restricted stock award grant
06/01/2021Date of performance stock award grant
05/23/2023Vesting date for two-thirds of the original grant of 3,053 restricted stock units
05/17/2024Vesting date for one-third of the original grant of 4,749 restricted stock units
05/23/2024Vesting date for two-thirds of the original grant of 3,053 restricted stock units
06/01/2024Transaction date for stock disposal to cover tax obligations
06/04/2024Date of Form 4 filing
05/23/2025Vesting date for the balance of 3,053 restricted stock units
05/23/2025Vesting date for 18,315 restricted stock units
05/17/2025Vesting date for the balance of 4,749 restricted stock units
05/17/2026Vesting date for the balance of 4,749 restricted stock units

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