Form 4: Helios Technologies Executive Marc Greenberg Reports Stock and Options Awards

Marc Greenberg, General Counsel and Secretary of Helios Technologies, reports the acquisition of restricted stock units and performance stock options.

Summary

• On February 27, 2025, Marc Greenberg, General Counsel and Secretary of Helios Technologies, Inc., reported transactions involving Helios Technologies stock.
• Greenberg acquired 5,528 Restricted Stock Units (RSUs) and 11,835 Performance Stock Options.
• The RSUs vest in three equal installments on January 3, 2026, January 3, 2027, and January 3, 2028.
• The performance stock options vest based on the achievement of pre-established performance metrics over a three-year period, with continuous employment required through March 15, 2028.
• Greenberg also indirectly owns 58.5 shares of common stock through a 401(k) plan trust and 166 shares through his spouse.
• Greenberg disclaims beneficial ownership of the shares held by his spouse except to the extent of his pecuniary interest.

Sentiment

Score: 7

Explanation: The document reflects standard executive compensation practices, which are generally viewed neutrally to positively as they align management and shareholder interests. The sentiment is slightly positive due to the performance-based nature of the stock options.

Positives

• The granting of RSUs and performance stock options aligns management's interests with those of shareholders.
• The vesting of performance stock options is tied to the achievement of pre-established performance metrics, incentivizing strong performance.

Risks

• The value of the RSUs and performance stock options is dependent on the future performance of Helios Technologies' stock.
• The performance stock options may not vest fully if the company does not achieve the pre-established performance metrics.

Future Outlook

The vesting of the RSUs and performance stock options is contingent upon continued employment and, in the case of the options, the achievement of performance metrics over the next three years.

Industry Context

This type of equity compensation is common for executives in publicly traded companies to align their interests with shareholders and incentivize performance.

Comparison to Industry Standards

• Equity compensation packages, including RSUs and performance-based options, are standard practice among publicly traded companies like Helios Technologies to incentivize executive performance.
• Companies such as Parker-Hannifin (PH), Eaton Corporation (ETN), and Flowserve Corporation (FLS), which operate in similar industrial sectors, also utilize similar compensation strategies to align executive incentives with shareholder value creation.
• The vesting schedules and performance metrics associated with these grants are typically designed to encourage long-term growth and profitability, mirroring industry best practices.

Stakeholder Impact

• Shareholders may view the equity grants positively as they align management's interests with the company's long-term success.
• Employees may be motivated by the potential for increased company performance and stock value.

Key Dates