Form 4: Hackett Group Vice Chairman and COO Receives Stock Grants

David N. Dungan, Vice Chairman and COO of Hackett Group, received grants of restricted stock units (RSUs) and performance restricted stock units (PRSUs).

Summary

• David N. Dungan, Vice Chairman and COO of The Hackett Group, Inc., received a grant of 32,024 restricted stock units (RSUs) on February 14, 2025, at a price of $0.
• These RSUs vest in three equal installments beginning February 14, 2026, and convert to common stock on a one-for-one basis.
• Dungan also received a grant of 413,115 performance restricted stock units (PRSUs) on September 16, 2024.
• The PRSUs can be earned based on the company's achievement of certain performance conditions over a performance period from September 16, 2024, to December 31, 2028.
• Specifically, 33.33%, 33.33%, and 33.34% of the PRSUs can be earned when the company's shares achieve a volume-weighted average price of $30.00, $40.00, and $50.00, respectively, for a consecutive 20-trading day period.
• Vesting of the PRSUs is also contingent on continued service through the first, second, and third anniversaries of the grant date for each respective hurdle.
• Following these transactions, Dungan directly owns 755,015 shares of common stock and indirectly owns 92,652 shares through the DND Family Trust.

Sentiment

Score: 7

Explanation: The document reflects a positive sentiment due to the granting of stock units, which incentivizes management and aligns their interests with shareholders. It's a routine event, but generally viewed favorably.

Positives

• The grant of RSUs and PRSUs aligns Dungan's interests with the long-term performance of the company.
• The vesting conditions based on stock price targets incentivize Dungan to drive shareholder value.
• The continued service requirement ensures Dungan's commitment to the company.

Risks

• The vesting of PRSUs is dependent on the company achieving specific stock price targets, which may not be realized.
• The value of the RSUs and PRSUs is subject to market fluctuations and the performance of the company's stock.

Future Outlook

The vesting of the RSUs and PRSUs is contingent upon continued service and the achievement of specific stock price targets, indicating a focus on long-term performance and shareholder value.

Industry Context

Stock grants are a common form of executive compensation in publicly traded companies, aligning management's interests with those of shareholders.

Stakeholder Impact

• Shareholders may view the stock grants positively as they align management's interests with the company's long-term success.
• Employees may be motivated by the potential for the company to achieve its stock price targets.

Key Dates

Keywords

Hackett Group, David N. Dungan, restricted stock units, performance restricted stock units, RSU, PRSU, stock grant, beneficial ownership, Form 4