Form 4: MYGN Chief People Officer Reports RSU Grant, Tax Withholding

Myriad Genetics' Chief People Officer, Shereen Solaiman, reported the acquisition of 173,196 restricted stock units and subsequent dispositions for tax withholding.

Summary

• Shereen Solaiman, Chief People Officer of Myriad Genetics Inc. (MYGN), reported transactions involving the company's common stock.
• On March 12, 2026, Solaiman acquired 173,196 shares of common stock through a grant of time-based restricted stock units (RSUs) at a price of $0.
• These RSUs vest in three equal annual installments, beginning on the first anniversary of the grant date.
• Following this acquisition, Solaiman's beneficial ownership was 282,484 shares.
• On March 13, 2026, 8,899 shares were disposed of at $4.66 per share to satisfy tax withholding obligations related to previously vested RSUs, reducing beneficial ownership to 273,585 shares.
• On March 14, 2026, an additional 5,784 shares were disposed of at $4.66 per share for tax withholding, bringing the beneficial ownership to 267,801 shares.
• The price of $4.66 was the closing price of MYGN common stock on March 13, 2026, used for tax calculations.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a moderately positive event, reflecting ongoing executive compensation and alignment of interests, with routine tax-related dispositions.

Positives

• The Chief People Officer received a significant grant of 173,196 restricted stock units, aligning management's interests with long-term shareholder value.
• The grant is part of the Issuer's 2017 Employee, Director and Consultant Equity Incentive Plan, indicating a structured approach to executive compensation.

Negatives

• Dispositions of 8,899 shares and 5,784 shares occurred to cover tax withholding obligations, which is a common practice but reduces the direct shareholding.
• The shares were disposed of at a price of $4.66 to cover tax obligations, which reflects the stock's closing price on March 13, 2026.

Risks

• The value of the restricted stock units is contingent on the future performance of Myriad Genetics' common stock, exposing the holder to market fluctuations.
• Future tax withholding events upon vesting of additional RSUs will continue to reduce the number of shares beneficially owned by the reporting person.

Future Outlook

The restricted stock units granted on March 12, 2026, are scheduled to vest in three equal annual installments, beginning on the first anniversary of the grant date, indicating future share issuances and potential tax withholding events.

Management Comments

• Consists of time-based restricted stock units granted pursuant to the Issuer's 2017 Employee, Director and Consultant Equity Incentive Plan. Each restricted stock unit represents a contingent right to receive one share of the Issuer's common stock and vests in three equal annual installments beginning on the first anniversary of the grant date.
• Represents shares of Common Stock withheld by the Issuer to satisfy tax withholding obligations in connection with the vesting of restricted stock units previously granted to the Reporting Person. The number of shares withheld was determined based on the closing price of Issuer's Common Stock on March 13, 2026.

Industry Context

StockSavvy.ai notes that equity grants like restricted stock units are a standard component of executive compensation packages in the biotechnology and diagnostics industry, aiming to align executive incentives with long-term shareholder value creation. The practice of withholding shares for tax obligations upon vesting is also common across industries.

Comparison to Industry Standards

• Equity-based compensation, particularly through RSUs, is a prevalent practice among publicly traded companies in the healthcare and life sciences sectors, including peers like Illumina (ILMN) and Exact Sciences (EXAS), to attract and retain talent and incentivize performance.
• The vesting schedule of three equal annual installments is a common structure for long-term incentive plans, comparable to those seen at companies such as Quest Diagnostics (DGX) and Laboratory Corporation of America (LH).
• The mechanism of share withholding for tax purposes upon RSU vesting is a standard, efficient method for managing statutory tax obligations for employees across most U.S. corporations.

Stakeholder Impact

• Shareholders: The RSU grant aligns the Chief People Officer's interests with shareholders, potentially fostering long-term value creation. The tax-related dispositions are routine and have minimal impact on overall share float.
• Employees: The grant is part of an existing equity incentive plan, which can positively impact employee morale and retention by demonstrating a commitment to competitive compensation.

Next Steps

• The granted restricted stock units will begin vesting in three equal annual installments starting March 12, 2027 (first anniversary of grant date).
• Future Form 4 filings will report subsequent vesting events and associated tax withholdings or other dispositions by the reporting person.

Key Dates

Recommendation

The filing details a routine grant of restricted stock units to a key executive, which is a positive for aligning management incentives. However, the subsequent dispositions are solely for tax withholding purposes, a standard practice that does not indicate a change in management's conviction or a significant shift in the company's outlook. Therefore, the filing itself does not provide new information warranting a change from a 'hold' position.

Keywords

Myriad Genetics, MYGN, Form 4, Insider Trading, Restricted Stock Units, RSU Grant, Executive Compensation, Chief People Officer, Stock Ownership, Tax Withholding