Form 4: NRC Director Nunnelly Awarded Stock Options

John N. Nunnelly, a Director at National Research Corp, received 22,625 stock options as part of the company's 2025 Omnibus Incentive Plan.

Summary

• Director John N. Nunnelly was granted 22,625 Director Stock Options.
• The options have an exercise price of $11.61 per share.
• The grant was made on October 17, 2025.
• The options become exercisable on October 17, 2025, and expire on October 17, 2035.
• This award is part of the Issuer's 2025 Omnibus Incentive Plan for participating in two in-person meetings during 2025.
• Following this transaction, Mr. Nunnelly beneficially owns 22,625 derivative securities directly.

Sentiment

Score: 6

Explanation: Slightly positive as it indicates alignment of interests between a director and shareholders through equity compensation, which is a standard and generally well-regarded practice.

Positives

• Granting of stock options to a director aligns management and shareholder interests.
• The award is part of a pre-approved incentive plan (2025 Omnibus Incentive Plan), indicating structured compensation.

Future Outlook

The stock options are exercisable over a ten-year period, providing a long-term incentive for the director to contribute to the company's performance.

Management Comments

• This award is a grant to the reporting person made under the Issuer's 2025 Omnibus Incentive Plan for participating in two in-person meetings during 2025.

Industry Context

This transaction represents a standard form of equity compensation for directors, common across various industries to incentivize long-term performance and align leadership interests with shareholder value.

Comparison to Industry Standards

• The filing does not provide sufficient detail on the company's peer group or typical director compensation structures to make a direct comparison to industry standards. The specific value of the grant would need to be benchmarked against similar-sized companies and director roles within the healthcare or market research sectors.

Corporate Governance

Related Party Transactions

• The grant of stock options to Director John N. Nunnelly constitutes a related party transaction, as it involves compensation from the company to a member of its board of directors. This is a standard practice for director compensation.

Stakeholder Impact

• Shareholders: Potential positive impact due to increased alignment of director interests with long-term shareholder value through equity ownership.
• Employees: No direct impact mentioned in this filing.
• Customers: No direct impact mentioned in this filing.
• Suppliers: No direct impact mentioned in this filing.
• Creditors: No direct impact mentioned in this filing.

Next Steps

• The director may choose to exercise the stock options at any point between October 17, 2025, and October 17, 2035, provided the stock price is above the exercise price of $11.61.

Key Dates

Recommendation

This Form 4 filing reports a routine grant of stock options to a director as part of an existing compensation plan. While it indicates alignment of interests, it does not provide sufficient new financial or operational information to warrant a change in investment recommendation. Investors should consider this in the broader context of the company's overall financial performance and strategic outlook.

Keywords

NATIONAL RESEARCH CORP, NRC, John N. Nunnelly, Director Stock Option, Insider Transaction, Form 4, Equity Compensation, Omnibus Incentive Plan