Form 4: Oscar Health Director Jeffery H. Boyd Receives Deferred Stock Units in Lieu of Cash Retainer

Director Jeffery H. Boyd received 2,080 deferred stock units of Oscar Health, Inc. in lieu of cash retainer payments for board service.

Summary

• On April 11, 2024, Jeffery H. Boyd, a director of Oscar Health, Inc., acquired 2,080 deferred stock units.
• These units were granted in lieu of cash retainer payments for his service on the Issuer's board of directors, as per the Issuer's Deferred Compensation Plan for Directors.
• The price used to calculate the number of deferred stock units was $15.02, which was the closing price of Oscar Health's Class A common stock on April 11, 2024.
• Following the transaction, Boyd beneficially owns 47,194 derivative securities.
• The deferred stock units will be settled for cash or shares of Class A common stock, at the Issuer's discretion, within 45 days of the first occurrence of termination of service, a change in control, death, or disability.
• The deferred stock units are 100% vested on the grant date.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally neutral to positive as it aligns director interests with shareholder value. The sentiment is slightly positive due to the alignment of interests.

Positives

• The director's compensation structure aligns his interests with the long-term performance of the company through deferred stock units.

Future Outlook

The deferred stock units will be settled for cash or shares of Class A common stock, in the Issuer's discretion, within 45 days of the first to occur of (i) termination of service; (ii) a change in control; (iii) death; or (iv) disability.

Industry Context

The granting of stock-based compensation to board members is a common practice in the healthcare industry to align their interests with those of shareholders.

Comparison to Industry Standards

• Stock options and restricted stock units are frequently used by companies like UnitedHealth Group (UNH), Anthem (ANTM), and Cigna (CI) to compensate their directors.
• The vesting schedules and settlement terms are generally in line with industry practices, often tied to continued service or specific performance milestones.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders by aligning the director's interests with the company's performance.

Key Dates