Form 4: Zurn Elkay GC Sells Shares for Tax Obligations

Zurn Elkay Water Solutions Corp's VP, General Counsel & Secretary, Jeffrey J. LaValle, sold 946 shares of common stock to cover tax withholding obligations.

Summary

• Jeffrey J. LaValle, VP, General Counsel & Secretary of Zurn Elkay Water Solutions Corp (ZWS), reported a transaction on February 11, 2026.
• LaValle sold 946 shares of ZWS Common Stock at a weighted average price of $51.63 per share.
• The sale was executed to satisfy tax withholding obligations and related fees in connection with the vesting of restricted stock units.
• Following the transaction, LaValle directly owns 51,868 shares of Common Stock and indirectly owns 1,813 shares through a 401(k) Plan.
• LaValle also holds a fully vested stock option to purchase 5,578 shares of Common Stock at an exercise price of $33.05, which expires on October 5, 2031.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this as a neutral event. The sale is explicitly for tax withholding, a common and non-discretionary reason for insider transactions, and does not reflect a change in the executive's confidence in the company.

Positives

• The sale was explicitly for tax withholding obligations, indicating the vesting of restricted stock units, which is a positive compensation event for the executive.
• The executive retains a substantial direct and indirect ownership stake in the company, demonstrating continued alignment with shareholder interests.

Negatives

• An insider sale, even for tax purposes, results in a reduction of the executive's direct equity holding in the company.

Future Outlook

NA

Industry Context

StockSavvy.ai notes that routine insider sales for tax purposes, such as this one, are common occurrences across industries when restricted stock units vest. They generally do not signal a change in company fundamentals or management's long-term outlook, unlike discretionary sales.

Stakeholder Impact

• Shareholders: Minimal impact as this is a routine, tax-related sale and the executive retains significant holdings, suggesting no change in long-term commitment.
• Employees: No direct impact.
• Customers: No direct impact.
• Suppliers: No direct impact.
• Creditors: No direct impact.

Key Dates

Recommendation

This transaction is a routine, non-discretionary sale by an insider to cover tax obligations upon the vesting of restricted stock units. It does not indicate a change in the company's fundamentals or the executive's long-term view. Therefore, it provides no strong signal for a 'buy' or 'sell' recommendation, warranting a 'hold' position based solely on this filing.

Keywords

Zurn Elkay Water Solutions, ZWS, Jeffrey J. LaValle, Insider Transaction, Form 4, Stock Sale, Tax Withholding, Restricted Stock Units, Corporate Officer, Equity Compensation