Form 4: Sabra Health Care CEO Matros Vests 85,160 Shares

Sabra Health Care REIT, Inc. CEO Richard K. Matros vested 85,160 common stock units after the company achieved 90.8% of its FFO performance target.

Summary

• Richard K. Matros, Chair, CEO, and President of Sabra Health Care REIT, Inc. (SBRA), acquired 85,160 shares of common stock.
• These shares represent the vesting of stock units granted under the Issuer's 2009 Performance Incentive Plan, awarded on December 27, 2022.
• The vested amount includes 17,903 shares from dividend equivalent payments.
• The Compensation Committee determined on February 10, 2026, that 90.8% of the target Funds From Operations (FFO) units were earned for the performance period of January 1, 2025, to December 31, 2025.
• The FFO units vested immediately upon this determination.
• Each FFO unit represents a contingent right to receive one share of the Issuer's Common Stock.
• The vested units will be paid out on a one-for-one basis in shares of Common Stock on January 4, 2027, unless an earlier payment event (death, disability, change of control) occurs.
• Following this transaction, Matros directly beneficially owns 915,040 shares and indirectly owns 1,857,686 shares through the R&A Matros Revocable Trust.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a moderately positive event, reflecting the CEO's continued alignment with shareholder interests through performance-based compensation and the company's solid, though not perfect, achievement of its FFO target.

Positives

• Richard K. Matros, CEO, successfully vested 85,160 common stock units, indicating a performance achievement.
• The company's Compensation Committee determined that 90.8% of the target Funds From Operations (FFO) units were earned for the performance period, demonstrating strong operational performance relative to targets.
• The vesting includes 17,903 shares from dividend equivalent payments, reflecting ongoing shareholder returns.

Negatives

• The company achieved 90.8% of its FFO target, meaning it did not fully meet the 100% target, resulting in a slightly lower payout than the maximum possible.

Future Outlook

Vested stock units will be paid out on a one-for-one basis in shares of Sabra Health Care REIT, Inc. Common Stock on January 4, 2027, unless an earlier payment event such as death, disability, or change of control occurs.

Industry Context

StockSavvy.ai notes that executive compensation tied to performance metrics like Funds From Operations (FFO) is a common practice in the REIT sector, aligning management incentives with shareholder value creation. The 90.8% achievement of the FFO target suggests solid, though not exceptional, operational execution within the healthcare REIT industry.

Stakeholder Impact

• Shareholders: The vesting of performance-based stock units for the CEO aligns management's interests with shareholder value, as the compensation is tied to FFO performance. The 90.8% achievement indicates a degree of success in operational performance.
• Management: Richard K. Matros benefits directly from the vesting of 85,160 shares, increasing his direct and indirect ownership in the company.

Next Steps

• Payment of vested FFO units on a one-for-one basis in shares of Common Stock on January 4, 2027.

Key Dates

Recommendation

This Form 4 filing details a routine, pre-scheduled vesting of performance-based stock units for the CEO, indicating a solid but not exceptional achievement of FFO targets (90.8%). While it reinforces management's alignment with shareholder interests, it does not present new information that would fundamentally alter the investment thesis for Sabra Health Care REIT, Inc. Therefore, a 'hold' recommendation is appropriate as it confirms ongoing operations without providing a strong catalyst for a 'buy' or 'sell' decision.

Keywords

Sabra Health Care REIT, SBRA, Richard K. Matros, SEC Form 4, Beneficial Ownership, Stock Units, Performance Incentive Plan, FFO Units, Executive Compensation, Insider Trading, REIT