Form 4: Regal Rexnord EVP and CFO Robert Rehard Reports Changes in Beneficial Ownership

Sentiment:

SEC Form 4


Robert Rehard, EVP and CFO of Regal Rexnord, reports acquisition and disposal of common stock and stock appreciation rights on February 23, 2024.

Summary

  • On February 23, 2024, Robert Rehard, the EVP and CFO of Regal Rexnord Corp, reported changes in his beneficial ownership of the company's securities.
  • These changes involve transactions in common stock and stock appreciation rights (SARs).
  • Rehard acquired 2,857 shares of common stock and 7,657 stock appreciation rights.
  • He also disposed of 1,225 shares of common stock at $168.47.
  • Additionally, Rehard acquired 5,938 shares of common stock related to the settlement of performance share units.
  • He disposed of 1,762 shares of common stock at $168.47 related to the settlement of performance share units.
  • Following these transactions, Rehard directly owns 31,376.247 shares of common stock.
  • He also holds various stock appreciation rights with different exercise prices and expiration dates.

Sentiment

Score: 6

Explanation: The sentiment is neutral. The filing primarily reports routine transactions related to executive compensation. The acquisition of SARs is a slightly positive signal, while the disposal of shares is slightly negative, balancing out to a neutral overall sentiment.

Positives

  • The acquisition of stock appreciation rights could indicate a positive outlook by the executive on the company's future performance.

Negatives

  • The disposal of common stock, while potentially for tax purposes, could be interpreted negatively by some investors.

Risks

  • Changes in executive ownership can sometimes create uncertainty among investors, although these transactions appear routine.

Future Outlook

The vesting schedules of the RSUs and SARs suggest a continued alignment of executive compensation with long-term company performance.

Industry Context

Executive stock transactions are common and closely monitored in the financial industry as indicators of management's confidence in the company's prospects.

Comparison to Industry Standards

  • Executive compensation packages including stock options and restricted stock units are standard practice among publicly traded companies like Regal Rexnord, similar to companies such as Rockwell Automation and Emerson Electric.
  • The vesting schedules and performance-based awards are also typical components of executive compensation plans designed to align management interests with shareholder value, comparable to incentive structures at companies like General Electric and Siemens.

Stakeholder Impact

  • The transactions could have a minor impact on shareholder sentiment, depending on how investors interpret the executive's actions.

Key Dates

DateDescription
05/12/2017Date of stock-settled SARs grant under the 2013 Equity Incentive Plan.
05/11/2018Date of stock-settled SARs grant under the 2013 Equity Incentive Plan.
05/10/2019Date of stock-settled SARs grant under the 2013 Equity Incentive Plan.
05/09/2020Date of stock-settled SARs grant under the 2018 Equity Incentive Plan.
05/08/2021Date of stock-settled SARs grant under the 2018 Equity Incentive Plan.
02/18/2021Date of stock-settled SARs grant under the 2018 Equity Incentive Plan.
02/23/2022Date of stock-settled SARs grant under the 2018 Equity Incentive Plan.
02/23/2023Date of stock-settled SARs grant under the 2018 Equity Incentive Plan.
12/31/2023Performance period end date for performance share units.
02/23/2024Date of the reported transactions (acquisition/disposal of shares and SARs).
02/27/2024Date of signature for the Form 4 filing.
02/23/2025Expiration date of some Stock Appreciation Rights.
05/12/2025Expiration date of some Stock Appreciation Rights.
05/11/2026Expiration date of some Stock Appreciation Rights.
05/10/2027Expiration date of some Stock Appreciation Rights.
05/09/2028Expiration date of some Stock Appreciation Rights.
05/08/2029Expiration date of some Stock Appreciation Rights.
02/18/2030Expiration date of some Stock Appreciation Rights.
02/23/2031Expiration date of some Stock Appreciation Rights.
02/23/2032Expiration date of some Stock Appreciation Rights.
02/23/2033Expiration date of some Stock Appreciation Rights.
02/23/2034Expiration date of some Stock Appreciation Rights.

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