Form 4: Patrick Industries EVP & CHRO, Stacey L. Neu, Reports Acquisition of Stock Options and Stock Appreciation Rights

Stacey L. Neu, EVP & CHRO of Patrick Industries, reports the acquisition of stock options and stock appreciation rights on February 25, 2025.

Summary

• On February 25, 2025, Stacey L. Neu, the EVP & CHRO of Patrick Industries, acquired stock options and stock appreciation rights.
• The stock options are exercisable for 4,220 shares of common stock at a price of $92.72.
• The stock options vest 25% per year starting February 25, 2026.
• Neu also acquired four tranches of stock appreciation rights (SARs), each for 1,055 shares of common stock.
• The SARs have exercise prices of $92.72, $110.76, $132.31, and $158.05, respectively.
• These SARs also vest 25% per year beginning February 25, 2026.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, indicating a positive alignment of interests between management and shareholders. It's a routine filing, so the sentiment is moderately positive.

Positives

• The acquisition of stock options and stock appreciation rights aligns the executive's interests with those of the shareholders.
• The vesting schedule encourages long-term commitment from the executive.

Future Outlook

The document does not contain any specific forward-looking statements beyond the vesting schedule of the stock options and stock appreciation rights.

Industry Context

This is a standard practice for incentivizing executives in publicly traded companies. Stock options and SARs are common tools to align management's interests with shareholder value.

Comparison to Industry Standards

• Granting stock options and stock appreciation rights to executives is a common practice across various industries to incentivize performance and align interests with shareholders.
• The vesting schedule of 25% per year over four years is a fairly standard vesting schedule.
• Comparing the size of the grant to similar companies in the building products or recreational vehicle industries would provide further context on whether the grant is above or below industry averages.

Stakeholder Impact

• The granting of stock options and SARs can positively impact shareholders by incentivizing management to increase shareholder value.
• Employees may view this as a positive sign of the company's commitment to its leadership.

Key Dates