Form 4: Valero Energy EVP & COO Gary K. Simmons Executes Stock Transactions

Valero Energy's EVP & COO, Gary K. Simmons, acquired and disposed of company stock and performance shares on January 16, 2025, resulting in a net change in his holdings.

Summary

• Gary K. Simmons, EVP & COO of Valero Energy, engaged in multiple transactions involving company stock and performance shares on January 16, 2025.
• He acquired a total of 27,727 shares of common stock through the vesting of performance shares.
• These performance shares were settled at 175% and 200% of the base shares, as per the terms of the Performance Share Agreement.
• Simmons also disposed of 10,964 shares of common stock at a price of $138.23 per share.
• Following these transactions, Simmons directly owns 209,804 shares of common stock, excluding 12,720.612 shares held indirectly in a thrift plan.

Sentiment

Score: 5

Explanation: The document is a routine filing of stock transactions by an executive, which is neither positive nor negative in itself. It reflects standard compensation practices.

Industry Context

This is a routine SEC Form 4 filing, which is common for corporate executives who trade their company's stock. These transactions are part of the executive compensation and incentive programs.

Comparison to Industry Standards

• Executive stock transactions are a common practice across publicly traded companies, particularly in the energy sector.
• Performance-based equity awards are a standard component of executive compensation packages, designed to align management's interests with those of shareholders.
• The vesting and settlement of performance shares at 175% and 200% of base shares is within the typical range for such agreements, although the specific terms vary by company and performance targets.
• Companies like Marathon Petroleum (MPC) and Phillips 66 (PSX) also have similar executive compensation structures involving stock options and performance-based equity.

Stakeholder Impact

• The transactions have a minor impact on shareholders as they reflect the standard compensation practices for executives.
• The sale of shares by the executive may have a negligible impact on the stock price.

Key Dates

Keywords

Valero Energy, VLO, insider trading, stock transaction, performance shares, executive compensation, Gary K. Simmons