Form 4: NuScale Power Corp Executive Reyes Jr. Reports Stock Transactions
SEC Form 4 Filing
Jose N. Reyes Jr., Chief Technology Officer of NuScale Power Corp, reports the vesting of restricted stock units and subsequent sale of shares to cover tax obligations.
Summary
- Jose N. Reyes Jr., Chief Technology Officer of NuScale Power Corp, filed a Form 4 detailing changes in beneficial ownership.
- On February 28, 2024, 26,641 Class A Common Stock shares were acquired through the vesting of restricted stock units.
- On February 29, 2024, 10,328 Class A Common Stock shares were sold at a price of $3.117 per share to cover tax withholding obligations.
- Following these transactions, Reyes Jr. directly owns 461,402 shares and indirectly owns 53,281 restricted stock units.
- The indirect holdings are through the Jose N. Reyes, Jr. Trust dated August 2, 2021.
Sentiment
Score: 6
Explanation: The sentiment is neutral. It's a routine transaction. The sale to cover taxes is expected, and the vesting of RSUs is a standard compensation practice.
Positives
- The vesting of restricted stock units indicates a form of compensation and alignment of the executive's interests with the company's performance.
Negatives
- The sale of shares to cover tax obligations, while common, could be interpreted as a lack of confidence, although it's a standard practice.
Risks
- Executive stock sales can sometimes create short-term downward pressure on the stock price.
Industry Context
Executive stock transactions are a normal part of corporate governance and compensation practices in publicly traded companies. The vesting of restricted stock units is a common way to incentivize and retain key personnel.
Comparison to Industry Standards
- Executive compensation packages, including restricted stock units, are common across the energy and technology sectors.
- Companies like Westinghouse and GE, which are also involved in nuclear technology, often use similar compensation methods for their executives.
- The vesting schedules and terms of these units are generally aligned with industry best practices to ensure long-term commitment and performance.
Stakeholder Impact
- The transaction has a minor impact on shareholders, potentially creating slight downward pressure on the stock price due to the sale of shares.
Key Dates
| Date | Description |
|---|---|
| August 2, 2021 | Date of the Jose N. Reyes, Jr. Trust |
| July 8, 2022 | Date the reporting person was granted 98,039 restricted stock units to vest annually in three installments beginning on May 12, 2023. |
| February 28, 2023 | Date the reporting person was granted 79,922 restricted stock units, vesting in three annual installments beginning on the anniversary of the grant date. |
| May 3, 2023 | Date of previous Form 4 filing reporting 151,203 shares held indirectly through the Donna Jean Reyes Trust. |
| May 12, 2023 | First vesting date of 98,039 restricted stock units granted on July 8, 2022. |
| February 28, 2024 | Vesting of 26,641 restricted stock units. |
| February 29, 2024 | Sale of 10,328 shares at $3.117 per share. |
| March 01, 2024 | Date of signature on the Form 4 filing. |
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