Form 4: Security National Financial VP/GC Quist Boosts Stock Options
Insider Transaction Report
Adam George Quist, Vice President and General Counsel of Security National Financial Corp, reported new grants of employee stock options, increasing his total beneficial ownership of derivative securities.
Summary
- Adam George Quist, a Director, 10% Owner, and Vice President/General Counsel of Security National Financial Corp (SNFCA), reported changes in his beneficial ownership of derivative securities.
- On December 5, 2025, Mr. Quist was granted new employee stock options.
- These new grants include 10,657 shares of Class A Common Stock with an exercise price of $9.38 per share, vesting quarterly starting March 5, 2026, and expiring December 5, 2030.
- Additionally, 289,343 shares of Class C Common Stock were granted with an exercise price of $8.53 per share, also vesting quarterly from March 5, 2026, and expiring December 5, 2035.
- Following these transactions, Mr. Quist beneficially owns a total of 799,068 derivative securities.
- Many of the previously granted options have been adjusted due to anti-dilution provisions of the 2013 Stock Option Plan and 2022 Equity Incentive Plan, reflecting various stock dividends paid between 2017 and 2025.
Sentiment
Score: 7
Explanation: The filing is a routine disclosure of executive stock option grants, which are a standard component of executive compensation designed to align management interests with long-term shareholder value. The anti-dilution adjustments are a positive aspect of the option plan.
Positives
- Granting of stock options to a key executive and director aligns management's interests with shareholder value.
- The anti-dilution provisions in the stock option plans protect the value of employee options against stock dividends.
Future Outlook
The newly granted stock options will vest quarterly in equal installments, beginning on March 5, 2026, providing future incentives for the reporting person.
Industry Context
This Form 4 filing reflects routine executive compensation practices within publicly traded companies, where stock options are commonly used to incentivize key personnel and align their long-term interests with shareholder performance. The anti-dilution provisions are standard in well-structured stock option plans to protect option holders from the dilutive effects of stock dividends.
Comparison to Industry Standards
- Granting stock options to executives and directors is a common practice across industries, aligning management incentives with company performance.
- The inclusion of anti-dilution provisions for stock dividends is a standard and favorable practice in equity incentive plans, ensuring the value of options is preserved for employees.
- The vesting schedule (quarterly installments) is typical for long-term incentive plans, promoting retention and sustained performance.
Corporate Governance
| Change Type | Description | Effective Date | Impact Assessment |
|---|---|---|---|
| Equity Incentive Plan | The stock options are granted under the 2013 Stock Option Plan and the 2022 Equity Incentive Plan, which include anti-dilution provisions for stock dividends. | N/A | These plans are designed to incentivize key personnel and align their interests with shareholder value, while the anti-dilution provisions protect option holders from dilution. |
Related Party Transactions
- The grants of employee stock options to Adam George Quist, who is a Director, 10% Owner, and Officer (Vice President/General Counsel) of Security National Financial Corp, constitute related party transactions as they involve compensation to a key management figure.
Stakeholder Impact
- Shareholders: The grants aim to align management's long-term interests with shareholder value, potentially leading to improved company performance. However, future exercise of options could lead to some dilution.
- Employees: The stock option plan serves as an incentive and retention tool for key executives.
Next Steps
- The newly granted Class A and Class C Common Stock options will begin vesting quarterly in equal installments starting March 5, 2026.
- The reporting person may exercise vested options according to their respective expiration dates.
Key Dates
| Date | Description |
|---|---|
| 2016-12-02 | Grant date for 15,901 Class A Common Stock options at $4.32. |
| 2017-02-03 | 5% stock dividend paid (relevant for 2016 option). |
| 2017-03-02 | Exercisable date for 2016 Class A Common Stock options. |
| 2017-12-01 | Grant date for 22,716 Class C Common Stock options at $3.27. |
| 2017-12-02 | Expiration date for 2016 Class A Common Stock options. |
| 2018-02-02 | 5% stock dividend paid (relevant for 2016 and 2017 options). |
| 2018-03-01 | Exercisable date for 2017 Class C Common Stock options. |
| 2018-11-30 | Grant date for 28,846 Class C Common Stock options at $3.76. |
| 2018-12-01 | Expiration date for 2017 Class C Common Stock options. |
| 2019-02-01 | 5% stock dividend paid (relevant for 2016, 2017, and 2018 options). |
| 2019-02-28 | Exercisable date for 2018 Class C Common Stock options. |
| 2019-11-30 | Expiration date for 2018 Class C Common Stock options. |
| 2019-12-06 | Grant date for 48,076 Class C Common Stock options at $3.91. |
| 2020-02-07 | 5% stock dividend paid (relevant for 2016, 2017, 2018, and 2019 options). |
| 2020-03-06 | Exercisable date for 2019 Class C Common Stock options. |
| 2020-03-27 | Grant date for 45,787 Class C Common Stock options at $2.84. |
| 2020-06-27 | Exercisable date for March 2020 Class C Common Stock options. |
| 2020-07-17 | 2.5% stock dividend paid (relevant for 2016, 2017, 2018, 2019, and March 2020 options). |
| 2020-12-06 | Expiration date for 2019 Class C Common Stock options. |
| 2021-07-16 | 5% stock dividend paid (relevant for 2016, 2017, 2018, 2019, and March 2020 options). |
| 2021-12-03 | Grant date for 72,931 Class C Common Stock options at $7.02. |
| 2022-03-03 | Exercisable date for 2021 Class C Common Stock options. |
| 2022-07-08 | 5% stock dividend paid (relevant for 2016-2021 options). |
| 2022-12-02 | Grant date for 92,610 Class C Common Stock options at $5.56. |
| 2022-12-03 | Expiration date for 2021 Class C Common Stock options. |
| 2023-03-02 | Exercisable date for 2022 Class C Common Stock options. |
| 2023-07-14 | 5% stock dividend paid (relevant for 2016-2022 options). |
| 2023-12-01 | Grant date for 88,200 Class C Common Stock options at $7.21. |
| 2023-12-02 | Expiration date for 2022 Class C Common Stock options. |
| 2024-03-01 | Exercisable date for 2023 Class C Common Stock options. |
| 2024-07-12 | 5% stock dividend paid (relevant for 2016-2023 options). |
| 2024-12-06 | Grant date for 7,298 Class C Common Stock options at $13.67 and 76,703 Class C Common Stock options at $12.43. |
| 2025-03-06 | Exercisable date for 2024 Class C Common Stock options. |
| 2025-07-18 | 5% stock dividend paid (relevant for 2016-2024 options). |
| 2025-12-05 | Grant date for 10,657 Class A Common Stock options at $9.38 and 289,343 Class C Common Stock options at $8.53. |
| 2025-12-06 | Expiration date for 2024 Class C Common Stock options (7,298 shares). |
| 2026-01-06 | Signature date of reporting person for the Form 4 filing. |
| 2026-03-05 | Vesting start date for 2025 Class A and Class C Common Stock options. |
| 2026-12-02 | Expiration date for 2016 Class A Common Stock options. |
| 2027-12-01 | Expiration date for 2017 Class C Common Stock options. |
| 2028-11-30 | Expiration date for 2018 Class C Common Stock options. |
| 2029-12-06 | Expiration date for 2019 Class C Common Stock options and 2024 Class C Common Stock options (7,298 shares). |
| 2030-03-27 | Expiration date for March 2020 Class C Common Stock options. |
| 2030-12-05 | Expiration date for 2025 Class A Common Stock options. |
| 2031-12-03 | Expiration date for 2021 Class C Common Stock options. |
| 2032-12-02 | Expiration date for 2022 Class C Common Stock options. |
| 2033-12-01 | Expiration date for 2023 Class C Common Stock options. |
| 2034-12-06 | Expiration date for 2024 Class C Common Stock options (76,703 shares). |
| 2035-12-05 | Expiration date for 2025 Class C Common Stock options. |
Recommendation
holdThis Form 4 filing details routine executive compensation through stock option grants. While it indicates continued alignment of management incentives with shareholder interests, it does not provide new fundamental information about the company's operational or financial performance that would warrant a change in investment recommendation. Investors should consider this as a standard disclosure within the broader context of the company's financial health and market position.
Keywords
Security National Financial Corp, SNFCA, Adam George Quist, Form 4, SEC filing, stock options, beneficial ownership, insider transaction, executive compensation, Class A Common Stock, Class C Common Stock, anti-dilution, stock dividend
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