Form 4: Optical Cable Corp Director John A. Nygren Jr. Acquires 9,990 Shares as Part of Annual Retainer

Director John A. Nygren Jr. of Optical Cable Corp received 9,990 shares of common stock as part of his annual retainer for the 2024-2025 board year.

Summary

• On May 17, 2024, John A. Nygren Jr., a director of Optical Cable Corp, acquired 9,990 shares of common stock.
• The acquisition was part of his annual retainer for the 2024-2025 board year.
• The shares were issued under the Optical Cable Corporation 2017 Stock Incentive Plan, as amended.
• The retainer value was $30,000, with the stock portion calculated at a trading price of $3.003 per share.
• The shares are subject to forfeiture until they fully vest on May 18, 2025.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The director receiving stock as part of their compensation aligns their interests with shareholders, which is generally viewed favorably. There are no explicit negative aspects mentioned.

Positives

• The acquisition of shares by a director demonstrates alignment with the company's interests.
• The stock incentive plan is being utilized to compensate board members.

Risks

• The shares are subject to forfeiture until they fully vest, which could be a disincentive if the director leaves the board before the vesting date.

Future Outlook

The document does not contain any specific forward-looking statements or guidance.

Industry Context

This type of stock award is a common practice in corporate governance to align the interests of board members with those of the shareholders. It's typical for companies to use stock incentive plans to attract and retain qualified directors.

Comparison to Industry Standards

• Stock compensation for board members is a common practice across various industries.
• The specific amount and vesting schedule can vary based on company size, industry, and individual director roles.
• Comparing Optical Cable Corp's director compensation to similar-sized companies in the telecommunications or manufacturing sectors would provide a more detailed benchmark.

Stakeholder Impact

• Shareholders: Aligns director's interests with shareholder value.
• Employees: Reinforces the company's commitment to incentivizing key personnel.

Key Dates