Form 4: Patrick Industries Executive Charles R. Roeder Reports Stock Transactions

Executive Vice President and Chief Sales Officer of Patrick Industries, Charles R. Roeder, reports the acquisition and disposal of company stock related to performance-based grants and tax obligations.

Summary

• Charles R. Roeder, EVP and Chief Sales Officer at Patrick Industries, filed a Form 4 detailing changes in his beneficial ownership of company stock.
• On January 28, 2025, Mr. Roeder disposed of 672 shares of common stock at $96.01 per share to cover tax obligations related to a performance-based stock grant from January 2022.
• He also acquired 7,500 shares of performance-based stock that will vest after three years upon achievement of company objectives.
• Additionally, Mr. Roeder received an annual management time-based grant of 1,875 shares that will vest in January 2028.
• Following these transactions, Mr. Roeder beneficially owns 30,028 shares of Patrick Industries common stock.

Sentiment

Score: 7

Explanation: The document reflects standard executive compensation practices and does not indicate any significant positive or negative events. The transactions are routine and expected.

Positives

• The granting of 7,500 performance-based shares indicates a continued focus on aligning executive compensation with company performance.
• The annual management time-based grant of 1,875 shares further incentivizes long-term commitment from the executive.

Negatives

• The disposal of 672 shares, while for tax purposes, represents a small reduction in Mr. Roeder's direct holdings.

Risks

• The vesting of performance-based shares is contingent on the company achieving specific objectives, which introduces a degree of uncertainty.
• The value of the shares is subject to market fluctuations, which could impact the ultimate value of the grants.

Future Outlook

The performance-based shares will vest after three years contingent on the achievement of company objectives, and the time-based shares will vest in January 2028.

Industry Context

This filing is a routine disclosure of stock transactions by a company executive, which is common practice in publicly traded companies. It provides transparency into executive compensation and 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 of three years for performance-based grants and time-based grants are typical in the industry.
• The use of stock to cover tax obligations is a standard practice to simplify the process for executives.

Stakeholder Impact

• The stock transactions have a minor impact on shareholders as they reflect routine executive compensation practices.
• The vesting of performance-based shares aligns executive interests with company performance, which is beneficial for shareholders.

Key Dates

Keywords

stock, Patrick Industries, Form 4, executive, share, performance-based, vesting, tax, grant, ownership