Form 4: News Corp Executive Marygrace DeGrazio Reports Acquisition of Stock-Settled Restricted Stock Units

Marygrace DeGrazio, Chief Accounting Officer of News Corp, reported the acquisition of stock-settled restricted stock units, representing accrued dividend equivalents.

Summary

• On April 10, 2024, Marygrace DeGrazio, Chief Accounting Officer of News Corp, reported the acquisition of stock-settled restricted stock units.
• These units represent dividend equivalents accrued with respect to previously granted stock-settled restricted stock units.
• The acquisitions include 14, 50, and 67 stock-settled restricted stock units, each valued at $25.51, resulting in 3,762, 12,924, and 17,347 units beneficially owned, respectively.
• These units are the economic equivalent of News Corporation Class A Common Stock and become payable in shares upon vesting of the underlying units.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. It reflects a routine executive compensation transaction, indicating stability and alignment of interests. The accrual of dividend equivalents suggests positive financial performance.

Positives

• The acquisition of stock-settled restricted stock units indicates continued alignment of the executive's interests with those of the shareholders.
• The dividend equivalents accrued on previously granted units suggest a positive financial performance that allows for such accruals.

Industry Context

Executive compensation through stock-settled restricted stock units is a common practice in publicly traded companies to align management's interests with shareholder value. The specifics of these grants are tailored to the company's performance and compensation strategy.

Comparison to Industry Standards

• Stock-settled restricted stock units are a common form of executive compensation, similar to practices at companies like Alphabet (GOOGL) and Meta (META).
• The vesting schedules and terms of these units often align with industry benchmarks for executive retention and performance incentives.
• The value of the units, at $25.51 each, is specific to News Corp's stock price and market capitalization, and would be compared to similar roles at comparable media companies like Paramount Global (PARA) or Warner Bros. Discovery (WBD).

Stakeholder Impact

• Shareholders may view this as a positive sign, indicating that management's interests are aligned with theirs.
• Employees may see this as a standard part of executive compensation, with no immediate impact on their roles.

Key Dates