Form 4: ScanSource CEO Michael Baur Executes Stock Options and Sells Shares Under 10b5-1 Plan

Michael Baur, CEO and Chairman of the Board of ScanSource, Inc., exercised stock options and sold shares of common stock under a pre-arranged Rule 10b5-1 sales plan.

Summary

• On July 10, 2024, Michael Baur, CEO and Chairman of the Board of ScanSource, Inc., exercised options to acquire 26,341 shares of common stock at a price of $41.13 per share and sold 26,341 shares at a weighted average price of $42.39.
• On July 11, 2024, Baur exercised options to acquire 7,798 shares of common stock at a price of $41.13 per share and sold 6,601 shares at a weighted average price of $43.92 and 1,197 shares at a weighted average price of $43.23.
• These transactions were executed under a Rule 10b5-1 sales plan adopted on September 1, 2023.
• Following these transactions, Baur directly owns 118,080 shares of ScanSource common stock.

Sentiment

Score: 6

Explanation: The sentiment is neutral. The transactions are part of a pre-planned sales strategy, and there's no indication of unusual activity or concern.

Positives

• The transactions were conducted under a pre-arranged Rule 10b5-1 sales plan, which is a legal and transparent way for insiders to sell shares.

Industry Context

Insider transactions are common and closely monitored, especially those executed under 10b5-1 plans, which provide a legal framework for pre-planned sales. The market often interprets these transactions in the context of the company's performance and the insider's overall holdings.

Comparison to Industry Standards

• Comparing Baur's transactions to other technology distributors like Ingram Micro or Tech Data, similar patterns of insider trading under 10b5-1 plans are often observed.
• The scale of these transactions is relatively small compared to the overall market capitalization of ScanSource, suggesting they are more likely for personal financial planning rather than a reflection of a change in sentiment about the company's prospects.
• The weighted average sale prices are within a normal range for daily stock fluctuations, indicating no unusual market impact.

Stakeholder Impact

• The transactions are unlikely to have a significant impact on shareholders, employees, customers, suppliers, or creditors, as they are part of a pre-planned sales strategy and the volume of shares sold is relatively small.

Key Dates