Form 4: PHINIA CFO Gropp Receives Restricted Stock Award

PHINIA Inc.'s Senior Vice President and CFO, Chris P. Gropp, was granted restricted stock awards totaling 6,311 shares, vesting annually starting February 2027.

Summary

• Chris P. Gropp, Senior Vice President and CFO of PHINIA INC., acquired 5,658 shares of common stock directly and 653 shares indirectly through a spouse.
• These shares represent an award of restricted stock with a transaction date of February 9, 2026.
• The restricted stock will vest in three substantially equal annual installments, commencing on February 28, 2027.
• Following these transactions, Gropp directly beneficially owns 67,073 shares, including 41,407 restricted shares.
• Indirectly, through a spouse, 4,570 shares are beneficially owned, including 3,593 restricted shares.
• The reporting person disclaims beneficial ownership of the securities held by the spouse.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a moderately positive event, reflecting standard executive compensation practices that align management's interests with long-term company performance, without indicating any immediate operational or financial changes.

Positives

• Chris P. Gropp, the Senior Vice President and CFO, received an award of 6,311 shares of restricted common stock, aligning his interests with long-term shareholder value.
• The award demonstrates the company's commitment to executive compensation and retention.

Future Outlook

The restricted stock awarded to Chris P. Gropp is scheduled to vest in three substantially equal annual installments, with the first vesting occurring on February 28, 2027, indicating a long-term incentive structure.

Management Comments

• The reporting person disclaims beneficial ownership of these securities [held by spouse], and the filing of this report shall not be deemed an admission that the reporting person is the beneficial owner of the securities for purposes of Section 16 or for any other purpose.

Industry Context

StockSavvy.ai notes that restricted stock awards are a common form of executive compensation across various industries, particularly in mature companies like those in the automotive components sector (PHINIA's likely industry given 'AUBURN HILLS MI'). These awards are designed to align executive incentives with long-term shareholder value creation and retention.

Comparison to Industry Standards

• StockSavvy.ai observes that granting restricted stock with multi-year vesting schedules is a standard practice for executive compensation in publicly traded companies, comparable to practices at automotive suppliers like BorgWarner or Cummins, which also utilize equity-based incentives to retain key talent and link performance to shareholder returns.
• The $0 acquisition price is typical for a direct stock grant or award.

Related Party Transactions

• The restricted stock award to Chris P. Gropp, a Senior Vice President and CFO, constitutes a related party transaction as it involves compensation from the issuer to a key executive.

Stakeholder Impact

• Shareholders: The award aligns the CFO's interests with long-term shareholder value through equity ownership.
• Employees: May signal stability in executive leadership and a standard approach to compensation.
• Management: Provides a significant long-term incentive and retention mechanism for the CFO.

Next Steps

• The restricted stock will vest in three substantially equal annual installments beginning February 28, 2027.

Key Dates

Recommendation

This Form 4 filing details a routine restricted stock award to a key executive, which is a standard compensation practice and does not provide new information that would significantly alter the fundamental investment thesis for PHINIA. It reinforces management's long-term alignment but does not suggest a 'buy' or 'sell' signal based solely on this event.

Keywords

PHINIA INC., PHIN, Chris P. Gropp, CFO, Restricted Stock Award, SEC Form 4, Insider Transaction, Executive Compensation, Equity Grant, Stock Vesting