Form 4: Kenvue CEO Perry Acquires 185 Deferred Share Units

Kenvue Inc. CEO Kirk Perry acquired 185 Deferred Share Units as pro-rated compensation for his service as an independent director, increasing his total beneficial ownership to 14,041.285 DSUs.

Summary

• Kirk Perry, Chief Executive Officer of Kenvue Inc. (KVUE), acquired 185 Deferred Share Units (DSUs).
• The transaction date for this acquisition is listed as October 1, 2025.
• Each DSU represents the right to receive one share of Kenvue common stock.
• These DSUs represent a deferral of cash compensation under Kenvue's Amended and Restated Deferred Fee Plan for Directors.
• The DSUs will be settled in shares of common stock following Perry's separation from service from Kenvue's Board of Directors.
• The 185 DSUs represent a pro-rated amount of compensation for Perry's service as an independent (non-executive) Director in the third fiscal quarter.
• Following this transaction, Perry beneficially owns a total of 14,041.285 DSUs, which includes DSUs acquired as dividend equivalents.

Sentiment

Score: 7

Explanation: The filing indicates a routine insider transaction related to executive compensation, which is generally viewed positively as it increases management's equity stake and aligns interests with shareholders. It does not contain any negative or unexpected information.

Positives

• The acquisition of Deferred Share Units by the CEO increases his beneficial ownership in the company, aligning his interests more closely with those of shareholders.
• The compensation structure, deferring cash into equity, demonstrates a commitment to long-term value creation and retention of key management.

Future Outlook

The Deferred Share Units acquired by Kirk Perry will be settled in shares of Kenvue common stock following his separation from service from the Issuer's Board of Directors.

Industry Context

The deferral of cash compensation into equity for directors and executives is a common practice across industries, designed to align management incentives with long-term shareholder value and to retain key personnel.

Comparison to Industry Standards

• Deferred Share Units (DSUs) as a form of director compensation are a standard practice in many publicly traded companies, including those in the consumer health sector, to encourage long-term commitment and align interests with shareholders.
• The structure, where DSUs convert to common stock upon separation from service, is typical for such plans, ensuring that the director's interests remain tied to the company's performance throughout their tenure and beyond.

Corporate Governance

Stakeholder Impact

• Shareholders: Increased alignment of CEO's interests with shareholder value due to higher equity ownership.
• Management/Directors: Provides a structured, long-term incentive for director service through deferred equity compensation.

Next Steps

• The Deferred Share Units will be settled in shares of common stock upon Kirk Perry's separation from service from Kenvue's Board of Directors.

Key Dates

Recommendation

This Form 4 filing details a routine insider transaction related to executive compensation, specifically the acquisition of Deferred Share Units. While it indicates increased alignment between management and shareholders, it does not present new material information that would fundamentally alter the investment thesis or warrant a change in a seasoned investor's recommendation for Kenvue stock. It is a standard disclosure of a planned compensation event.

Keywords

Kenvue, KVUE, Kirk Perry, Deferred Share Units, DSU, Insider Transaction, Executive Compensation, Director Compensation, SEC Form 4