Form 4: Leidos Holdings Executive Roy E. Stevens Reports Stock Option Grant and Tax Obligation Fulfillment

Roy E. Stevens, a Sector President at Leidos Holdings, reports the acquisition of stock options and the withholding of shares to cover tax obligations.

Summary

• On March 8, 2025, Leidos Holdings Sector President Roy E. Stevens reported changes in beneficial ownership of company stock.
• Stevens acquired 8,859 stock options on March 7, 2025, exercisable beginning March 7, 2026, and vesting in three annual installments.
• 514 shares of common stock were withheld by the company on March 8, 2025, at a price of $139.24 to cover Stevens' tax obligations related to previous restricted stock unit awards.
• Following these transactions, Stevens directly owns 49,934 shares of Leidos common stock and indirectly owns 1,774.4473 shares through a Key Executive Stock Deferral Plan.
• The stock options have an exercise price of $133.06 and expire on March 6, 2032.

Sentiment

Score: 6

Explanation: The document is neutral in tone, reporting standard transactions related to executive compensation. It doesn't contain any information that would significantly impact investor sentiment positively or negatively.

Positives

• The granting of stock options to a key executive like Roy E. Stevens can be seen as a positive incentive for performance and alignment with shareholder interests.

Industry Context

Form 4 filings are a routine part of corporate governance, providing transparency into the transactions of company insiders. The granting of stock options is a common practice in the industry to incentivize executives.

Comparison to Industry Standards

• Stock option grants are a common form of executive compensation in publicly traded companies, particularly in the technology and defense sectors where Leidos operates.
• Companies like Lockheed Martin, General Dynamics, and Northrop Grumman also utilize stock options as part of their executive compensation packages.
• The vesting schedule of 33 1/3% over three years is a fairly standard vesting schedule for stock options.

Stakeholder Impact

• Shareholders may view the stock option grant as a positive incentive for executive performance.
• The tax withholding has a negligible impact on the company's financials.

Key Dates