Form 4: Zimmer Biomet Executive Chad F. Phipps Reports Stock Transactions

Chad F. Phipps, Sr. VP/Gen Counsel/Secretary of Zimmer Biomet Holdings, Inc., reports the vesting of restricted stock units and subsequent tax withholding.

Summary

• On March 6, 2024, Chad F. Phipps, a Senior Vice President, General Counsel, and Secretary at Zimmer Biomet Holdings, Inc., had restricted stock units (RSUs) vest.
• 2,095 shares were acquired upon the vesting of these RSUs.
• 825 shares were withheld by the company to cover tax obligations related to the vesting.
• The price per share for the tax withholding was $125.82.
• Following these transactions, Phipps directly owns 49,221 shares of Zimmer Biomet common stock and 4,188 restricted stock units.

Sentiment

Score: 5

Explanation: This is a routine regulatory filing reflecting standard executive compensation practices. It doesn't contain information that would significantly sway investor sentiment positively or negatively.

Future Outlook

The remaining RSUs will vest in two installments on March 6, 2025, and March 6, 2026.

Industry Context

This Form 4 filing is a routine disclosure related to executive compensation and stock ownership, common in publicly traded companies like Zimmer Biomet. It provides transparency into the transactions of company insiders.

Comparison to Industry Standards

• Executive compensation packages including restricted stock units are standard practice among publicly traded companies, including Zimmer Biomet competitors such as Stryker, Johnson & Johnson (DePuy Synthes), and Medtronic.
• The vesting schedules for RSUs, such as the one described in the filing (one-third initially, then half each year for the next two years), are typical for executive compensation plans designed to incentivize long-term performance and retention.
• Tax withholding practices related to RSU vesting are also standard, with companies often withholding shares to cover the executive's tax obligations.

Stakeholder Impact

• Shareholders may be interested in executive compensation details as they relate to company performance and alignment of interests.
• The transactions have a minor impact on the total outstanding shares of Zimmer Biomet.

Key Dates