Form 4: Knowles CEO Niew Exercises, Sells Shares
Insider Transaction Report
Knowles Corp President & CEO Jeffrey Niew exercised stock options and subsequently sold the acquired common stock in pre-planned transactions.
Summary
- Jeffrey Niew, President & CEO and Director of Knowles Corp, engaged in multiple transactions involving the company's common stock.
- On October 31, 2025, Niew exercised options to acquire 98,252 shares of common stock at an exercise price of $16.07 per share.
- Immediately following, he sold these 98,252 shares at a weighted average price of $23.7148 per share, with prices ranging from $23.70 to $23.81.
- On November 3, 2025, Niew exercised options to acquire an additional 38,404 shares of common stock, also at $16.07 per share.
- These 38,404 shares were then sold at a weighted average price of $23.5498 per share, with prices ranging from $23.40 to $23.68.
- All transactions were conducted under a Rule 10b5-1(c) plan, indicating they were pre-scheduled.
- Following these transactions, Niew's direct beneficial ownership of common stock is 939,370 shares.
- All non-qualified stock options with an exercise price of $16.07 and an expiration date of February 19, 2026, have now been exercised, leaving 0 derivative securities of this type.
Sentiment
Score: 5
Explanation: The filing reports routine, pre-planned insider transactions (exercise and sell) by the CEO. While profitable for the insider, it represents a reduction in direct equity ownership. The Rule 10b5-1 plan mitigates any negative perception of opportunistic selling.
Positives
- The transactions were executed under a Rule 10b5-1(c) plan, indicating they were pre-scheduled and not based on immediate insider information.
- The sale prices ($23.7148 and $23.5498) are significantly higher than the exercise price ($16.07), indicating a profitable exercise for the insider.
Negatives
- Insider selling, even if pre-planned, reduces the insider's direct equity stake in the company.
Future Outlook
NA
Industry Context
NA
Stakeholder Impact
- Shareholders: May view the sale as a slight negative due to reduced insider ownership, but the pre-planned nature (Rule 10b5-1) and profitability of the exercise could be seen as neutral to slightly positive.
Key Dates
| Date | Description |
|---|---|
| 02/19/2020 | Date non-qualified stock options became exercisable. |
| 10/31/2025 | Date of option exercise and subsequent sale of 98,252 common shares. |
| 11/03/2025 | Date of option exercise and subsequent sale of 38,404 common shares. |
| 11/04/2025 | Date the Form 4 was signed. |
| 02/19/2026 | Expiration date of non-qualified stock options. |
Recommendation
holdThis Form 4 details pre-planned insider transactions by the CEO, involving the exercise of stock options and subsequent sale of the acquired shares. While the insider realized a profit, these are routine transactions under a Rule 10b5-1 plan and do not inherently signal a change in the company's fundamental outlook or performance. Therefore, based solely on this filing, a 'hold' recommendation is appropriate as it provides no new material information to alter an existing investment thesis.
Keywords
Knowles Corp, KN, Jeffrey Niew, Insider Trading, Form 4, Stock Options, Equity Sales, CEO, Director, Rule 10b5-1
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