SCHEDULE: Kerber Boosts Stake in Palladyne AI Corp.

William Xavier Kerber III has increased his beneficial ownership in Palladyne AI Corp. to 4.9%, acquiring an additional 133,528 shares for investment purposes.

Summary

• William Xavier Kerber III, CEO of Human Mode LLC, has filed an amendment to his Schedule 13D, reporting an increase in his beneficial ownership of Palladyne AI Corp. common stock.
• As of November 6, 2026, Mr. Kerber directly owns 2,049,842 shares and indirectly holds 450,000 shares through three irrevocable trusts (Vincent Kerber, Katheryn Kerber, and Chi Kerber), where he serves as an advisor.
• This brings his total beneficial ownership to 2,499,842 shares, representing 4.9% of the Issuer's Common Stock, based on 51,381,117 shares outstanding as of November 10, 2026.
• The recent purchase involved 133,528 shares acquired on November 6, 2026, at a price of $2.82 per share, funded by personal funds.
• Mr. Kerber's stated purpose for these purchases is investment.
• On November 10, 2026, Mr. Kerber ceased to be the beneficial owner of five percent or more of the Issuer's Common Stock, based on the total share count disclosed in the 10-Q filing released on that date.

Sentiment

Score: 6

Explanation: StockSavvy.ai views this as a neutral to slightly positive filing, primarily due to an increase in beneficial ownership by a key individual, indicating continued investment interest. However, the lack of significant strategic updates or financial performance data tempers a more enthusiastic outlook.

Positives

• William Xavier Kerber III has increased his direct shareholding by 133,528 shares, indicating continued personal investment in the company.
• The total beneficial ownership remains significant at 4.9%, showing sustained interest from a key individual.
• The acquisition was funded by personal funds, suggesting organic investment rather than external financing.

Negatives

• The filing indicates that as of November 10, 2026, Mr. Kerber's beneficial ownership fell below the 5% threshold, requiring this Schedule 13D filing.
• The filing does not provide any new strategic initiatives or financial performance updates for Palladyne AI Corp.

Risks

• The filing does not explicitly mention any new risks or changes to existing risk factors for Palladyne AI Corp.

Future Outlook

The filing does not contain any forward-looking statements or specific future guidance from Palladyne AI Corp. management. The outlook is limited to Mr. Kerber's stated purpose of investment.

Management Comments

• Mr. Kerber purchased the Issuer's Common stock as an individual for the purposes of investment.
• The trustees of the three trusts listed in section 5(a) have the power to direct the receipt of dividends from or the proceeds from the sale of the Issuer's Common Stock held within those trusts.

Industry Context

StockSavvy.ai notes that this filing is a routine Schedule 13D amendment, indicating a change in beneficial ownership by a significant individual investor. It does not reflect broader company performance or strategic shifts within the AI sector, but rather an individual's investment activity.

Related Party Transactions

• William Xavier Kerber III serves as an advisor to the Vincent Kerber Irrevocable Trust, Katheryn Kerber Irrevocable Trust, and Chi Kerber Irrevocable Trust, which collectively hold 450,000 shares of Palladyne AI Corp. common stock.

Stakeholder Impact

• Shareholders: The increased stake by Mr. Kerber may signal continued confidence from a significant investor, potentially viewed positively. However, the filing does not provide information that would directly impact shareholder value beyond this individual's investment activity.
• Management: The filing confirms Mr. Kerber's role as a significant shareholder and his investment strategy.
• Trust Beneficiaries: The trustees of the three trusts have the power to direct dividends and sale proceeds, impacting the beneficiaries of those trusts.

Next Steps

• William Xavier Kerber III will continue to hold his shares for investment purposes.
• Further amendments to Schedule 13D will be required if Mr. Kerber's beneficial ownership changes significantly.

Key Dates

Keywords

Palladyne AI Corp., Schedule 13D, Beneficial Ownership, William Xavier Kerber III, Investment, Common Stock, Insider Trading