Form 4: Patrick Industries CEO Andy Nemeth Reports Stock Transactions Following Vesting of Performance-Based Grants

Patrick Industries CEO Andy Nemeth reported multiple stock transactions on January 28, 2025, including the vesting of performance-based grants and tax withholding.

Summary

• On January 28, 2025, Patrick Industries CEO Andy Nemeth engaged in several transactions involving the company's common stock.
• These transactions included an adjustment of 23,378 shares related to a performance-based grant from January 2022, which vested in January 2025.
• Additionally, 19,825 shares were returned to the company to cover tax obligations associated with the vesting of the 2022 performance-based grant.
• Nemeth also acquired 32,497 shares from a performance-based grant that vests after three years upon achievement of company objectives.
• Finally, he received 8,124 shares as part of an annual management time-based grant, which will vest in January 2028.
• Following these transactions, Nemeth's total direct holdings amount to 355,641 shares.

Sentiment

Score: 7

Explanation: The document reflects standard executive compensation practices and insider transactions, which are generally neutral to positive. The vesting of performance-based grants suggests the company is meeting its objectives.

Positives

• The vesting of performance-based grants indicates that the company has met certain performance objectives.
• The annual management time-based grant shows continued commitment to executive compensation.

Negatives

• The return of 19,825 shares to cover tax obligations reduces the total number of shares held by the CEO.

Risks

• The vesting of performance-based grants is contingent on the company achieving specific objectives, which may not always be met.
• Changes in tax laws could impact the value of stock-based compensation.

Future Outlook

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

Industry Context

This filing is a routine disclosure of insider transactions and is typical for publicly traded companies. It provides transparency into executive compensation and stock ownership.

Comparison to Industry Standards

• Stock-based compensation is a common practice among publicly traded companies to align executive interests with shareholder value.
• The vesting schedules and performance-based criteria are typical for executive compensation packages in the industry.
• Companies like Thor Industries and Winnebago also use similar stock-based compensation plans for their executives.

Stakeholder Impact

• The transactions provide transparency to shareholders regarding executive compensation and stock ownership.
• The vesting of performance-based grants may be viewed positively by shareholders as it indicates the company is meeting its objectives.

Key Dates

Keywords

stock transactions, performance-based grants, vesting, executive compensation, insider trading, tax withholding, equity securities, Patrick Industries, CEO, Andy Nemeth