Form 4: Varex Imaging CEO Acquires 9,681 Shares Through Performance Stock Unit Vesting

Varex Imaging Corp's CEO, Sunny Sanyal, acquired 9,681 shares of common stock through the vesting of performance stock units (PSUs).

Summary

• Varex Imaging Corp's CEO, Sunny Sanyal, has acquired 9,681 shares of common stock.
• The shares were obtained through the vesting of performance stock units (PSUs).
• These PSUs were granted on December 10, 2023, and their vesting was contingent on the achievement of certain performance criteria.
• The reported shares represent the number of PSUs earned due to the achievement of these performance criteria.
• The final number of earned PSUs will be certified and approved by the Compensation Committee after the completion of Fiscal Year 2026.
• The PSUs will vest subject to the CEO's continued employment through the vesting date.

Sentiment

Score: 7

Explanation: The document reflects a positive event of performance-based compensation vesting, indicating that performance targets were met. This is generally a positive signal for investors.

Positives

• The vesting of performance stock units indicates that performance criteria were met.
• The CEO's acquisition of shares aligns his interests with those of the shareholders.
• The vesting is tied to continued employment, which may promote stability.

Risks

• The final vesting of the PSUs is contingent on the CEO's continued employment through the vesting date after Fiscal Year 2026, which introduces some risk of forfeiture.
• The exact vesting date is not specified, which introduces some uncertainty.

Future Outlook

The final number of earned PSUs will be certified and approved by the Compensation Committee after the completion of Fiscal Year 2026, and the PSUs will vest subject to the CEO's continued employment through the vesting date.

Industry Context

This type of stock-based compensation is common for executives in publicly traded companies, aligning their interests with shareholders and incentivizing performance.

Comparison to Industry Standards

• Performance-based equity awards, such as PSUs, are a standard practice in executive compensation across various industries, including technology and healthcare, where Varex Imaging operates.
• Companies like GE Healthcare and Siemens Healthineers, which are competitors of Varex Imaging, also utilize similar performance-based equity compensation plans for their executives.
• The vesting of PSUs upon achievement of performance criteria is a common mechanism to ensure that executive compensation is tied to company performance and shareholder value creation.

Stakeholder Impact

• Shareholders may view the vesting of PSUs as a positive sign, indicating that performance targets were met.
• Employees may see this as a positive sign of the company's performance and leadership.

Next Steps

• The Compensation Committee will certify and approve the total number of PSUs earned after the completion of Fiscal Year 2026.
• The PSUs will vest subject to the CEO's continued employment through the vesting date.

Key Dates

Keywords

Varex Imaging, Performance Stock Units, PSUs, CEO, Share Acquisition, Stock Vesting, Sunny Sanyal, Executive Compensation