Form 4: Humana President & CEO James A. Rechtin Reports Stock Transactions
SEC Form 4 Filing
Humana's President and CEO, James A. Rechtin, reported the disposal of 392 shares of common stock to cover tax liabilities related to vested restricted stock units.
Summary
- James A. Rechtin, President and CEO of Humana Inc., filed a Form 4 detailing changes in his beneficial ownership of company stock.
- On December 15, 2024, Mr. Rechtin disposed of 392 shares of Humana common stock at a price of $271.675 per share.
- This disposal was to cover tax liabilities associated with restricted stock units that vested on the same date.
- Following the transaction, Mr. Rechtin directly owns 3,693 shares of Humana common stock.
- He also holds indirect ownership through two revocable trusts.
- Mr. Rechtin also holds options to purchase 29,230 shares at $458.185 and 15,772 shares at $367.21, granted on January 8, 2024 and February 21, 2024 respectively.
- He also holds 6,548 restricted stock units.
Sentiment
Score: 5
Explanation: The document is a routine filing of stock transactions by an executive, which is neither positive nor negative in itself.
Industry Context
This is a routine filing for executive stock transactions and is common practice for publicly traded companies.
Comparison to Industry Standards
- Executive stock transactions are a common occurrence in publicly traded companies, such as UnitedHealth Group (UNH), CVS Health (CVS), and Anthem (ANTM).
- These companies also regularly report Form 4 filings for their executives.
- The vesting schedules and option grants are typical for executive compensation packages in the healthcare industry.
Stakeholder Impact
- The transaction has a minimal impact on shareholders as it is a routine sale of shares by an executive to cover tax liabilities.
Key Dates
| Date | Description |
|---|---|
| 01/08/2024 | Incentive and Non-Qualified stock options granted to reporting person, vesting in three annual increments from 1/8/25 to 1/8/27. |
| 02/21/2024 | Incentive and Non-Qualified stock options granted to reporting person, vesting in three annual increments from 2/21/25 to 2/21/27. |
| 12/15/2024 | Date of stock disposal to cover tax liabilities on vested restricted stock units. |
| 12/17/2024 | Date of Form 4 filing. |
| 01/08/2025 | First vesting date for stock options granted on 1/8/2024 and restricted stock units granted on 1/8/2024. |
| 02/21/2025 | First vesting date for stock options granted on 2/21/2024. |
| 01/08/2026 | Second vesting date for stock options granted on 1/8/2024 and restricted stock units granted on 1/8/2024. |
| 02/21/2026 | Second vesting date for stock options granted on 2/21/2024. |
| 01/08/2027 | Third vesting date for stock options granted on 1/8/2024 and restricted stock units granted on 1/8/2024. |
| 02/21/2027 | Third vesting date for stock options granted on 2/21/2024. |
| 01/08/2031 | Expiration date for stock options granted on 1/8/2024. |
| 02/21/2031 | Expiration date for stock options granted on 2/21/2024. |
Keywords
Humana, stock transaction, Form 4, insider trading, James A. Rechtin, executive compensation, restricted stock units, stock options
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