Form 4: Neuronetics Director Megan Rosengarten Awarded 30,000 Restricted Stock Units

Neuronetics, Inc. Director Megan Rosengarten has been granted 30,000 Restricted Stock Units (RSUs), increasing her total beneficial ownership to 140,890 shares.

Summary

• Megan Rosengarten, a Director of Neuronetics, Inc. (STIM), was granted 30,000 Restricted Stock Units (RSUs) on May 22, 2025.
• Each RSU represents a contingent right to receive one share of Neuronetics' common stock.
• The RSU award vests on the earlier of May 22, 2026, or the Reporting Person's Board-approved separation of service from the Issuer, subject to continuous service.
• Following this transaction, Ms. Rosengarten's total beneficial ownership of Neuronetics common stock stands at 140,890 shares.

Sentiment

Score: 6

Explanation: Slightly positive, as it indicates continued alignment of a director's interests with the company's performance through equity compensation, which is a standard and healthy corporate practice.

Positives

• The grant of Restricted Stock Units to a director helps align the director's interests with those of the shareholders, as the value of the compensation is tied to the company's stock performance.
• This is a standard form of equity compensation, indicating ongoing commitment to retaining and incentivizing key board members.

Future Outlook

The RSU award is subject to future vesting conditions, specifically continuous service until May 22, 2026, or earlier upon Board-approved separation of service.

Industry Context

The granting of Restricted Stock Units (RSUs) is a common practice in the biotechnology and medical device industries for compensating and incentivizing directors and executives, aligning their long-term interests with company performance and shareholder value.

Comparison to Industry Standards

• The use of Restricted Stock Units (RSUs) for director compensation is a widely accepted and standard practice across various industries, including medical technology, similar to companies like Medtronic (MDT) or Boston Scientific (BSX) which also utilize equity-based incentives.
• The vesting schedule, tied to continued service, is typical for such awards, ensuring retention and long-term commitment from board members.

Related Party Transactions

• The RSU grant represents an equity compensation transaction between Neuronetics, Inc. and Megan Rosengarten, a Director of the company, which is considered a related party transaction.

Stakeholder Impact

• Shareholders: The RSU grant aligns the director's financial interests with shareholder value creation, as the value of the RSUs is directly tied to the company's stock price performance.
• Employees: While not directly impacting employees, such compensation practices for leadership can signal stability and a commitment to long-term value creation.

Next Steps

• Vesting of the 30,000 Restricted Stock Units on May 22, 2026, or earlier upon Board-approved separation of service, subject to continuous service.

Key Dates

Keywords

Neuronetics, STIM, Form 4, Restricted Stock Units, RSU, Director Compensation, Insider Transaction, Equity Compensation