Form 4: Kenvue Director Kirk Perry Receives Significant Deferred Share Unit Grant

Kenvue Inc. Director Kirk Perry was granted 7,659 Deferred Share Units (DSUs) on May 22, 2025, increasing his beneficial ownership to 12,614.954 DSUs.

Summary

• Kirk Perry, a Director of Kenvue Inc. (KVUE), acquired 7,659 Deferred Share Units (DSUs) on May 22, 2025.
• These DSUs were granted under Kenvue's Amended and Restated Deferred Fee Plan for Directors.
• Each DSU represents the right to receive one share of Kenvue's common stock upon the termination of Mr. Perry's directorship.
• The total number of DSUs beneficially owned by Mr. Perry following this transaction is 12,614.954.
• The reported price of the underlying Common Stock at the time of grant was $23.5 per share.
• The total beneficial ownership includes DSUs acquired as dividend equivalents.

Sentiment

Score: 7

Explanation: The grant of equity to a director is generally a positive signal, indicating alignment of interests and standard corporate governance practices. It's not a major market-moving event but reflects ongoing operations.

Positives

• The grant of Deferred Share Units aligns the director's interests with long-term shareholder value, as the units are settled in common stock upon termination of directorship.
• An increase in director ownership through equity grants can signal confidence in the company's future performance.

Negatives

• No direct negatives are apparent from this specific Form 4 filing, as it reports a standard equity grant to a director.

Risks

• The value of the Deferred Share Units is tied to the future performance of Kenvue's common stock, meaning their ultimate value to the director could decrease if the stock price declines.

Future Outlook

This filing does not provide specific forward-looking statements or guidance regarding Kenvue's financial performance or strategic direction. It primarily reports an insider transaction related to director compensation.

Industry Context

This Form 4 filing reflects a routine compensation practice for directors in publicly traded companies, where equity-based awards like Deferred Share Units are used to align director incentives with long-term shareholder interests. Such grants are common across various industries, including consumer health, where Kenvue operates.

Comparison to Industry Standards

• The use of Deferred Share Units (DSUs) for director compensation is a common practice among large public companies, including peers in the consumer health sector such as Procter & Gamble (PG), Johnson & Johnson (JNJ), and Colgate-Palmolive (CL), which often utilize similar long-term incentive plans to retain and incentivize their board members.
• The structure of DSUs settling upon termination of directorship is a standard mechanism designed to defer income and ensure continued alignment of interests throughout a director's tenure.

Corporate Governance

Stakeholder Impact

• Shareholders: The grant of DSUs to a director aligns their interests with shareholders, as the value of the DSUs is tied to the company's stock performance.
• Employees: No direct impact on employees is indicated by this filing.

Next Steps

• The Deferred Share Units will be settled in shares of Kenvue's common stock upon the termination of Kirk Perry's directorship.

Key Dates

Recommendation

Keywords

Kenvue Inc., KVUE, Form 4, SEC filing, Deferred Share Units, DSUs, Director compensation, Insider ownership, Equity grant, Corporate governance