Form 4: Sabra Health Care REIT Exec's Performance Stock Vesting

Sabra Health Care REIT Executive VP Darrin Smith reported the vesting of performance-based stock units and subsequent tax-related dispositions.

Summary

• Darrin Smith, Executive VP, CIO & Secretary of Sabra Health Care REIT, Inc. (SBRA), reported multiple transactions on February 10, 2026.
• Acquired 5,483 shares of Common Stock from the vesting of Funds From Operations (FFO) units, which achieved 90.8% of their target for the performance period ending December 31, 2025. This included 1,152 shares from dividend equivalent payments.
• Acquired an additional 14,088 shares of Common Stock from the vesting of annual bonus performance stock units (PSUs), which achieved 168.4% of their target for the performance period ending December 31, 2025. This included 896 shares from dividend equivalent payments.
• Disposed of 2,927 shares and 6,390 shares of Common Stock, totaling 9,317 shares, to satisfy tax withholding obligations in connection with the payout of restricted stock units at a price of $19.15 per share.
• Following these transactions, Darrin Smith beneficially owns 115,445 shares of Common Stock, including 32,708 stock units that will be paid on a one-for-one basis in shares upon settlement.

Sentiment

Score: 6

Explanation: StockSavvy.ai views this as a moderately positive event, reflecting the successful achievement of executive performance targets, with one award significantly exceeding expectations, which generally aligns executive interests with company performance.

Positives

• The annual bonus performance stock units (PSUs) achieved 168.4% of their target, indicating strong performance against specific metrics for the period ending December 31, 2025.
• Funds from operations (FFO) units vested at 90.8% of target, demonstrating substantial achievement of FFO-based performance goals.
• The vesting of these units aligns executive compensation with company performance, suggesting management incentives are tied to positive outcomes.

Future Outlook

The filing does not contain explicit forward-looking statements or guidance beyond the completion of previously granted performance awards.

Management Comments

• The Compensation Committee determined on February 10, 2026, that the number of FFO units earned was 90.8% of the target.
• The Compensation Committee determined on February 10, 2026, that the number of PSUs earned was 168.4% of the target.

Industry Context

StockSavvy.ai notes that performance-based equity compensation, such as FFO units and PSUs, is a common practice in the REIT sector to align executive incentives with shareholder value creation and operational performance.

Stakeholder Impact

• Shareholders: The vesting of performance-based units indicates that executive compensation is tied to company performance metrics like FFO and adjusted normalized FFO per share, which can be viewed positively as it aligns management incentives with shareholder interests. The tax-related dispositions are routine and do not suggest a change in confidence.

Key Dates

Recommendation

This Form 4 details routine insider transactions related to executive compensation vesting and tax withholding. While the performance target achievements are positive, the filing does not contain sufficient information regarding the company's overall financial health, strategic direction, or market position to warrant a change in investment recommendation. It is a standard disclosure of a pre-scheduled event.

Keywords

Sabra Health Care REIT, SBRA, Form 4, Insider Transaction, Executive Compensation, Stock Units, Performance Incentive Plan, FFO, PSU