Form 4: Toro CFO Angela Drake Reports Stock Transactions

Toro Co's VP & CFO, Angela C. Drake, reported the acquisition of common stock through RSU conversion and disposition for tax withholding, alongside changes in retirement and deferred compensation plans.

Summary

• Angela C. Drake, VP & CFO of The Toro Co (TTC), reported transactions involving common stock and restricted stock units on March 10, 2026.
• Drake acquired 2,730.443 shares of common stock at a price of $98.93 per share through the conversion of restricted stock units.
• Concurrently, 1,387 shares of common stock were disposed of at $98.93 per share, likely for tax withholding purposes related to the RSU conversion.
• Following these transactions, Drake directly beneficially owns 9,410.928 shares of common stock.
• An additional 482.276 shares of common stock are indirectly owned through The Toro Company Retirement Plan, including 27.621 net shares from contributions and 1.989 shares from dividend reinvestment.
• Drake also directly owns 758.09 performance share units, which includes 3.319 units acquired through the dividend reinvestment feature of The Toro Company Deferred Compensation Plan for Officers.
• The filing indicates that 2,730.443 restricted stock units were converted, and 4,159 restricted stock units remain outstanding, vesting in three equal annual installments commencing on the first anniversary of the December 22, 2025 grant date.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this as a neutral filing, reflecting routine executive compensation activities and compliance with insider trading regulations, with no significant positive or negative implications for the company's operational or financial performance.

Positives

• The acquisition of 2,730.443 shares of common stock through the conversion of restricted stock units increases Angela Drake's direct ownership in The Toro Co.
• Continued participation in The Toro Company Retirement Plan and Deferred Compensation Plan for Officers, including dividend reinvestment, demonstrates ongoing alignment of executive interests with shareholder value.

Negatives

• The disposition of 1,387 shares of common stock for tax withholding reduces the immediate direct beneficial ownership, although this is a standard practice following RSU vesting and conversion.

Future Outlook

The remaining 4,159 restricted stock units are scheduled to vest in three equal annual installments, commencing on the first anniversary of the December 22, 2025 grant date, indicating future potential share acquisitions for the reporting person.

Industry Context

StockSavvy.ai notes that Form 4 filings are routine disclosures of insider transactions, providing transparency into executive stock ownership changes. These filings are a standard part of corporate governance, allowing investors to monitor how executives manage their equity compensation and personal holdings in the company.

Comparison to Industry Standards

• This Form 4 filing is a standard regulatory disclosure for insider transactions, consistent with practices across publicly traded companies in the U.S. and global benchmarks for transparency in executive compensation.
• The nature of the transactions, involving RSU vesting and subsequent tax-related sales, aligns with common executive compensation structures seen in companies like Deere & Company (DE) or Stanley Black & Decker (SWK), which operate in related industrial or consumer product sectors.

Stakeholder Impact

• Shareholders gain transparency into executive stock ownership and compensation activities, which can help assess management's alignment with shareholder interests.

Next Steps

• Future vesting events for the remaining 4,159 restricted stock units, commencing on the first anniversary of the December 22, 2025 grant date.

Key Dates

Recommendation

This Form 4 filing details routine insider transactions related to executive compensation, specifically the vesting and conversion of restricted stock units and subsequent tax-related dispositions. Such transactions are common and do not typically signal a change in the company's fundamental outlook or warrant a shift in investment strategy. Therefore, a 'hold' recommendation is appropriate as there is no new material information to suggest a 'buy' or 'sell'.

Keywords

Toro Co, TTC, Form 4, Insider Trading, Executive Compensation, Restricted Stock Units, Performance Share Units, Common Stock, Angela Drake, CFO