Form 4: Red Robin CEO Sells Shares to Cover Tax Obligations

Sentiment:

SEC Form 4 Filing


Red Robin's CEO, Gerard Johan Hart, sold shares to cover tax obligations arising from the vesting of restricted stock units.

Summary

  • Gerard Johan Hart, the President and CEO of Red Robin Gourmet Burgers Inc., sold shares of common stock on March 14, 2025, and March 17, 2025.
  • The sales were executed to cover tax withholding obligations and fees related to the vesting of time-based restricted stock units granted on March 13, 2024.
  • On March 14, 2025, 11,997 shares were sold at a weighted average price of $4.46, with individual transactions ranging from $4.41 to $4.51.
  • On March 17, 2025, 11,467 shares were sold at a weighted average price of $4.39, with individual transactions ranging from $4.35 to $4.52.
  • Following these transactions, Hart directly owns 575,270 shares of Red Robin common stock, which includes 324,696 time-based restricted stock units subject to vesting and forfeiture restrictions.

Sentiment

Score: 5

Explanation: Neutral sentiment as the filing reflects routine transactions related to executive compensation and tax obligations.

Industry Context

Executive stock sales are a common occurrence, often related to compensation and tax planning. The 'sell-to-cover' mechanism is a standard practice to manage tax liabilities associated with equity compensation.

Stakeholder Impact

  • The stock sales could have a minor impact on shareholders due to the increased supply of shares in the market, but the impact is likely minimal given the relatively small volume of shares sold.

Key Dates

DateDescription
03/13/2024Date of grant of 79,936 time-based restricted stock units to the reporting person under the issuer's 2017 Performance Incentive Plan, as amended.
03/14/2025Date of first transaction: Sale of 11,997 shares of Common Stock.
03/17/2025Date of second transaction: Sale of 11,467 shares of Common Stock.
03/18/2025Date of signature on the Form 4 filing.

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