Form 4: Dril-Quip Director Terence Bartlett Jupp Acquires Shares in Lieu of Fees

Director Terence Bartlett Jupp acquired 1,512 shares of Dril-Quip Inc. common stock on July 1, 2024, in lieu of quarterly fees for board service.

Summary

• On July 1, 2024, Terence Bartlett Jupp, a director of Dril-Quip Inc., acquired 1,512 shares of common stock.
• The acquisition was made in lieu of quarterly fees related to his service on the Board of Directors and its committees.
• The price per share was $0, as the shares were granted as a restricted stock award under the company's 2017 Omnibus Incentive Plan.
• Following the transaction, Jupp directly owns 68,675 shares of Dril-Quip Inc. common stock.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. A director acquiring shares, even in lieu of fees, can be seen as a positive sign of confidence in the company's future.

Positives

• The acquisition of shares by a director demonstrates confidence in the company.
• Using stock awards in lieu of fees conserves company cash.

Industry Context

This type of equity compensation is common for board members in publicly traded companies, aligning their interests with shareholders.

Comparison to Industry Standards

• Granting restricted stock to directors is a common practice among publicly traded companies to align their interests with shareholders.
• Companies like Schlumberger (SLB) and Halliburton (HAL) also use equity-based compensation for their board members.
• The amount of equity granted varies based on company size, performance, and industry standards.

Related Party Transactions

• The stock award to Terence Bartlett Jupp, a director, is a related party transaction.

Stakeholder Impact

• Shareholders may view the director's increased stake as a positive sign.
• The company conserves cash by issuing stock instead of paying cash fees.

Key Dates