Form 4: Monster Beverage Director Converts Restricted Stock Units to Deferred Stock Units Under Pre-Arranged Plan

Monster Beverage Corp. Director Gary P. Fayard converted 3,592 restricted stock units into deferred stock units under a pre-arranged plan, increasing his total deferred stock unit holdings to 53,084.

Summary

• Gary P. Fayard, a Director of Monster Beverage Corp. (MNST), reported a transaction on June 11, 2025.
• The transaction involved the settlement of 3,592 Restricted Stock Units (RSUs) into an equivalent number of shares of common stock, which Mr. Fayard elected to defer.
• These deferred shares were subsequently credited as 3,592 Deferred Stock Units under the Monster Beverage Corporation Deferred Compensation Plan for Non-Employee Directors.
• Following this transaction, Mr. Fayard's direct beneficial ownership of common stock remains at 12,306 shares.
• His total beneficial ownership of Deferred Stock Units increased to 53,084 units.
• The transaction was executed pursuant to a Rule 10b5-1(c) plan, indicating it was part of a pre-arranged trading strategy.

Sentiment

Score: 6

Explanation: The transaction is a conversion of equity compensation into deferred stock units, indicating a director's continued long-term holding and alignment with shareholder interests, rather than a sale. The use of a 10b5-1 plan also adds transparency.

Positives

• The conversion of Restricted Stock Units into Deferred Stock Units indicates a long-term commitment by the director, as these units are typically settled upon separation from the board or other specified future events, aligning interests with long-term shareholder value.
• The transaction was conducted under a Rule 10b5-1(c) plan, which suggests a pre-planned and transparent approach to insider transactions, reducing concerns about opportunistic trading.

Future Outlook

The document does not provide a future outlook for the company. It details a past transaction.

Industry Context

This Form 4 filing is a routine disclosure of an insider equity transaction and does not provide broader industry context or trends.

Corporate Governance

Related Party Transactions

• Conversion of 3,592 Restricted Stock Units into 3,592 Deferred Stock Units by Director Gary P. Fayard under the company's Deferred Compensation Plan for Non-Employee Directors.

Stakeholder Impact

• Shareholders: Provides transparency regarding director equity holdings and compensation structure. The deferral of units suggests continued alignment of the director's interests with long-term shareholder value.

Key Dates

Keywords

Monster Beverage Corp, MNST, SEC Form 4, Insider Transaction, Gary P. Fayard, Director, Restricted Stock Units, Deferred Stock Units, Equity Compensation, Rule 10b5-1 plan