Form 4: Health Catalyst Executive Kevin Freeman Awarded Restricted Stock Units

Kevin Lee Freeman, Chief Commercial Officer of Health Catalyst, Inc., received awards of restricted stock units (RSUs) and performance-based restricted stock units (PRSUs) on February 20, 2025.

Summary

• On February 20, 2025, Kevin Lee Freeman, the Chief Commercial Officer of Health Catalyst, Inc., was granted 140,000 restricted stock units (RSUs) and 18,262 performance-based restricted stock units (PRSUs).
• The RSUs were granted under the company's 2019 Stock Option and Incentive Plan.
• 33.33% of the RSUs will vest on December 1, 2025, with the remaining 66.67% vesting in 8 equal quarterly installments.
• The PRSUs were awarded based on the company's performance criteria for the fiscal year ended December 31, 2024.
• Each RSU and PRSU represents a contingent right to receive one share of Health Catalyst's common stock.
• Following these transactions, Freeman directly owns 395,212 shares of Health Catalyst common stock.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, suggesting stability and alignment of interests. The performance-based component is a positive indicator.

Positives

• The award of PRSUs indicates that Health Catalyst met certain performance criteria for the fiscal year ended December 31, 2024.
• The vesting schedule of the RSUs incentivizes continued service by the executive.

Future Outlook

The vesting schedule of the RSUs suggests an expectation of continued service and contribution from the executive.

Industry Context

Stock awards are a common component of executive compensation packages in the technology and healthcare industries, aligning executive interests with shareholder value.

Comparison to Industry Standards

• Stock option and incentive plans are standard practice for publicly traded companies like Health Catalyst to attract, retain, and motivate key employees.
• Vesting schedules, such as the one described for the RSUs, are typical to ensure long-term commitment from the executive.
• Performance-based awards, like the PRSUs, are also common and tie executive compensation to the achievement of specific company goals, similar to practices at companies like Cerner (now Oracle Health) and Allscripts.

Stakeholder Impact

• The stock awards align the executive's interests with those of shareholders, incentivizing value creation.
• The awards may have a positive impact on employee morale by demonstrating the company's commitment to its leadership.

Key Dates

Keywords

Health Catalyst, Kevin Freeman, restricted stock units, RSU, PRSU, performance-based restricted units, stock options, beneficial ownership, Form 4, executive compensation