Form 4: ModivCare Director David A. Coulter Acquires Shares in Lieu of Cash Retainer

Director David A. Coulter acquired 881 shares of ModivCare Inc. common stock on June 28, 2024, as part of the company's non-employee director compensation program.

Summary

• On June 28, 2024, David A. Coulter, a director of ModivCare Inc., acquired 881 shares of common stock.
• The shares were granted under the company's 2006 Long-Term Incentive Plan, as amended, in lieu of quarterly cash retainer fees.
• The price per share was $26.24.
• Following the transaction, Coulter directly owns 32,644 shares of ModivCare Inc. common stock.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The director's share acquisition is a routine transaction and signals confidence in the company, but it's not a major event.

Positives

• The acquisition of shares by a director demonstrates confidence in the company.
• The use of equity in lieu of cash retainer fees can conserve company cash.

Industry Context

Director share acquisitions are common and often viewed positively by investors as they align management's interests with those of shareholders. This is a standard practice in many publicly traded companies.

Comparison to Industry Standards

• Director compensation packages often include equity grants to align interests with shareholders, similar to practices at companies like UnitedHealth Group (UNH) and Humana (HUM).
• The use of long-term incentive plans is a standard practice among publicly traded companies to incentivize executives and directors, comparable to plans used by companies such as CVS Health (CVS) and Cigna (CI).

Stakeholder Impact

• The share acquisition aligns the director's interests with those of shareholders.
• The use of equity for compensation can be seen positively by shareholders as it conserves company cash.

Key Dates