Form 4: Teresa Carlson Acquires 19,238 PagerDuty Shares as Part of Director Compensation

Director Teresa Carlson acquired 19,238 shares of PagerDuty common stock on March 13, 2024, as part of the company's non-employee director compensation policy.

Summary

• On March 13, 2024, Teresa Carlson, a director of PagerDuty, Inc. acquired 19,238 shares of common stock.
• The acquisition was made under the Issuer's Non-Employee Director compensation policy.
• These shares are in the form of restricted stock units (RSUs), each representing a contingent right to receive one share of PagerDuty common stock.
• The RSUs vest in three equal annual installments from the grant date, contingent upon continuous service to the Issuer.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally viewed neutrally to positively as it aligns director and shareholder interests.

Positives

• The acquisition of shares by a director demonstrates alignment of interests with shareholders.
• The vesting schedule encourages continued service and commitment to the company.

Future Outlook

The vesting of the restricted stock units is contingent upon continuous service to the Issuer, suggesting an expectation of ongoing involvement from the director.

Industry Context

Director compensation packages often include equity to align the interests of board members with those of shareholders. RSU grants are a common method of providing this equity.

Comparison to Industry Standards

• RSUs are a standard component of director compensation packages in the tech industry, similar to companies like Atlassian, Datadog, and Cloudflare.
• The three-year vesting schedule is also typical, aligning with industry norms for incentivizing long-term commitment.

Stakeholder Impact

• The acquisition of shares by a director can positively influence shareholder confidence.
• The vesting schedule incentivizes the director to contribute to the company's long-term success.

Key Dates