Form 4: NuScale CFO Sells Shares Under 10b5-1 Plan

NuScale Power Corp. CFO Robert Ramsey Hamady sold 20,000 shares of Class A Common Stock under a pre-arranged trading plan.

Summary

• Robert Ramsey Hamady, Chief Financial Officer of NuScale Power Corp. (SMR), reported a transaction on June 30, 2026.
• He sold 20,000 shares of Class A Common Stock.
• The sale was executed under a Rule 10b5-1 trading plan adopted on March 31, 2026, indicating it was pre-scheduled.
• The sale price was $10.14 per share, resulting in a total transaction value of $202,800.
• Following this transaction, Hamady beneficially owns 97,192 shares of Class A Common Stock.
• Additionally, the filing notes that Hamady holds employee stock options to purchase 20,000 shares of Class A Common Stock at an exercise price of $3.20, with an expiration date of February 24, 2034. These options were granted on February 28, 2024, and vest in three annual installments.

Sentiment

Score: 4

Explanation: StockSavvy.ai views this filing as slightly negative due to the insider selling, despite the mitigating factor of the Rule 10b5-1 plan. The sale of a significant number of shares by a key executive can create a perception of reduced confidence.

Positives

• The sale was conducted under a Rule 10b5-1 plan, which is designed to provide an affirmative defense against allegations of insider trading by establishing a predetermined trading schedule.
• The stock options held by the CFO have a significantly lower exercise price ($3.20) than the current market price, indicating potential future value if exercised.

Negatives

• The CFO sold a notable number of shares (20,000), which could be interpreted negatively by the market, despite being part of a pre-planned strategy.
• The sale price of $10.14 per share is lower than the potential future value of the underlying stock, though this is a result of market conditions at the time of the sale.

Risks

• The primary risk is the potential negative market perception of insider selling, even if executed under a Rule 10b5-1 plan.
• The company's stock price could be negatively impacted by the perception of reduced insider confidence.

Future Outlook

The filing does not contain forward-looking statements or guidance. It solely reports a past transaction.

Management Comments

• The reported sale of 20,000 shares occurred automatically pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on March 31, 2026.
• The stock options were granted February 28, 2024, and will vest in three annual installments beginning on the anniversary of the grant date.

Industry Context

StockSavvy.ai notes that insider selling, even under a Rule 10b5-1 plan, can sometimes lead to short-term negative sentiment in the market, particularly for growth-oriented companies like those in the advanced nuclear energy sector where investor confidence is crucial.

Stakeholder Impact

• Shareholders may react negatively to the insider selling, potentially leading to a short-term decrease in share price.
• Employees with stock options may view the CFO's sale as a sign of market conditions or company outlook, though the continued holding of options with a low exercise price suggests ongoing confidence.

Next Steps

• The vesting of the remaining stock options will occur in annual installments.
• Further transactions under the Rule 10b5-1 plan, if any, will be reported in subsequent filings.

Key Dates

Recommendation

The filing reports a routine insider transaction under a pre-established plan, which is not inherently indicative of a change in the company's fundamental value. While insider selling can create negative sentiment, the use of a 10b5-1 plan mitigates concerns about opportunistic trading. Therefore, a 'hold' recommendation is appropriate, pending further fundamental analysis of NuScale Power's business prospects.

Keywords

NuScale Power, SMR, Form 4, Insider Trading, Rule 10b5-1, Stock Sale, CFO, Robert Ramsey Hamady, Class A Common Stock, Stock Options