Form 4: SM Energy Co. Executive Kenneth J. Knott Reports Changes in Beneficial Ownership

Kenneth J. Knott, SVP Bus Dev & Land at SM Energy Co, reports transactions involving common stock and restricted stock units.

Summary

• On June 28, 2024, Kenneth J. Knott purchased 357 shares of SM Energy Co. common stock at $32.91 per share through the Employee Stock Purchase Plan.
• On July 1, 2024, Knott acquired 3,757 shares through the vesting of restricted stock units (RSUs).
• Also on July 1, 2024, 915 shares were disposed of at $43.23.
• An additional 3,179 shares were acquired through vesting of RSUs on July 1, 2024.
• Another 775 shares were disposed of at $43.23 on July 1, 2024.
• Further, 3,952 shares were acquired through vesting of RSUs on July 1, 2024.
• Finally, 963 shares were disposed of at $43.23 on July 1, 2024.
• Following these transactions, Knott directly owns 123,087 shares of SM Energy Co. common stock.

Sentiment

Score: 5

Explanation: This is a routine filing reflecting standard compensation practices. It doesn't indicate any particularly positive or negative sentiment.

Positives

• The vesting of restricted stock units indicates a continued alignment of the executive's interests with those of the shareholders.

Industry Context

Form 4 filings are a routine part of the regulatory landscape for publicly traded companies, providing transparency into the trading activities of company insiders. These filings are closely watched by investors seeking insights into management's perspective on the company's stock.

Comparison to Industry Standards

• Executive compensation packages often include restricted stock units (RSUs) as a way to align management's interests with those of shareholders.
• The vesting schedules and terms of these RSUs are generally comparable to those offered by peer companies in the oil and gas industry.
• Companies like Devon Energy (DVN) and Pioneer Natural Resources (PXD) also utilize RSUs as part of their executive compensation plans.

Stakeholder Impact

• The transactions have a minor impact on shareholders as they reflect standard executive compensation and trading activity.

Key Dates