Form 4: Verizon Executive Acquires Phantom Stock Units

Verizon's EVP and Group CEO, Kyle Malady, acquired 146.959 phantom stock units through a deferred compensation plan.

Summary

• Kyle Malady, Executive Vice President and Group CEO of VZ Business at Verizon Communications Inc., acquired 146.959 phantom stock units.
• The transaction date for this acquisition was December 4, 2025.
• Each phantom stock unit is the economic equivalent of a portion of one share of Verizon common stock and is settled in cash.
• The acquired phantom stock units are linked to 42 shares of common stock as the underlying security.
• The price of the derivative security (phantom stock unit) for this transaction was $11.78.
• The acquisition was made indirectly through a deferred compensation plan.
• Following this transaction, Malady beneficially owns a total of 396,353.166 phantom stock units, which includes units acquired through dividend reinvestment.

Sentiment

Score: 7

Explanation: The acquisition of phantom stock by a key executive, even if part of a compensation plan, generally indicates confidence in the company's future and aligns executive interests with long-term value creation. No negative information is present in this routine filing.

Positives

• An executive acquiring additional phantom stock units can signal confidence in the company's future performance.
• The acquisition is part of a deferred compensation plan, aligning executive incentives with long-term company value and retention.

Risks

• The value of phantom stock is tied to the underlying common stock, meaning its value can fluctuate with market conditions.
• Settlement in cash means the executive does not directly hold equity, but rather a cash-settled equivalent, which may not offer the same direct shareholder rights.

Future Outlook

The phantom stock units become payable upon events established by the reporting person in accordance with the deferred compensation plan, indicating a future cash settlement tied to the company's performance or specific vesting conditions.

Industry Context

Insider acquisitions, even of phantom stock, can be viewed positively by the market as they suggest management's belief in the company's future. In the telecommunications industry, executive compensation often includes equity-linked instruments to align interests with long-term strategic goals and executive retention.

Comparison to Industry Standards

• Deferred compensation plans and phantom stock awards are common executive compensation tools across large corporations, including those in the telecom sector like AT&T or T-Mobile.
• These mechanisms aim to retain key executives and incentivize performance without immediately diluting shareholder equity or requiring direct stock ownership.

Stakeholder Impact

• Shareholders may view the executive's increased stake (even indirect) as a positive signal of confidence in the company's future prospects.
• Employees are not directly impacted by this specific executive compensation transaction.

Next Steps

• The phantom stock units will become payable upon events established by the reporting person in accordance with the deferred compensation plan.

Key Dates

Recommendation

This Form 4 reports a routine acquisition of phantom stock by an executive as part of a deferred compensation plan. While it signals executive alignment and confidence, it does not present new information significant enough to warrant a change in investment recommendation based solely on this filing. Investors should continue to hold based on broader company fundamentals and market conditions.

Keywords

Verizon, VZ, Kyle Malady, Phantom Stock, Deferred Compensation, Insider Transaction, Executive Compensation, SEC Form 4