AERG (AERG) CEO sells 10,000 shares, retains large option and RSU stake

Rhea-AI Filing Summary

APPLIED ENERGETICS, INC. President & CEO Christopher Wayne Donaghey reported an open-market sale of 10,000 shares of common stock at $1.50 per share, leaving him with 113,592 common shares held directly.

He also continues to hold equity awards, including 100,000 Restricted Stock Units linked to common stock and multiple option grants. These include Incentive Stock Options for 1,000,000 shares at $2.36 per share expiring on July 13, 2032, and Non-Statutory Stock Options for 200,000 shares at $0.61 per share expiring on May 12, 2031, plus additional options and RSUs that vest over time and upon specified revenue milestones.

Insider Trade Summary 10b5-1

Net Seller: 10,000 shares ($15,000)

Net Sell 6 txns

Insider Donaghey Christopher Wayne

Role President & CEO

Sold 10,000 shs ($15K)

Type	Security	Shares	Price	Value
Sale	Common Stock, par value $0.001 per share	10,000	$1.50	$15K
holding	Incentive Stock Options	--	--	--
holding	Non-Statutory Stock Options	--	--	--
holding	Non-Statutory Stock Options	--	--	--
holding	Incentive Stock Options	--	--	--
holding	Restricted Stock Units	--	--	--

Holdings After Transaction: Common Stock, par value $0.001 per share — 113,592 shares (Direct, null); Incentive Stock Options — 1,000,000 shares (Direct, null); Non-Statutory Stock Options — 150,000 shares (Direct, null); Restricted Stock Units — 100,000 shares (Direct, null)

Footnotes (1)

1. The options vest upon the achievement of specified revenue milestones as follows: with respect to 170,000 Shares, upon achievement of gross revenues of $10 million; with respect to an additional 330,000 Shares, upon achievement of gross revenues of $25 million; and with respect to the remaining 500,000 Shares, upon achievement of gross revenues of $50 million. They were issued in exchange for services pursuant to an Incentive Stock Option Agreement under the 2018 Incentive Stock Plan and expire ten years from the date of grant. These options vested in instalments of 37,500 shares on each of 9/29/2019, 4/29/2020, 9/29/2020 and 4/29/2021. They were issued in exchange for services pursuant to an Incentive Stock Option Agreement under the 2018 Incentive Stock Plan. These options vested on May 12, 2022. They were issued in exchange for services pursuant to an Incentive Stock Option Agreement under the 2018 Incentive Stock Plan. These options vest over four years, in equal annual instalments of 250,000 shares, commencing on July 12, 2023, having currently vested as to 750,000 shares. They were issued in exchange for services pursuant to an Incentive Stock Option Agreement under the 2018 Incentive Stock Plan. These RSUs vest in equal annual instalments of 100,000 shares, commencing on July 12, 2023 and have no expiration date or exercise price.

Key Figures

Shares sold: 10,000 shares Sale price: $1.50 per share Shares held after sale: 113,592 shares +5 more

8 metrics

Shares sold 10,000 shares Open-market sale of common stock at $1.50 per share on June 1, 2026

Sale price $1.50 per share Price for 10,000 AERG common shares sold

Shares held after sale 113,592 shares Direct common stock holdings following the reported transaction

RSU underlying shares 100,000 shares Restricted Stock Units tied to common stock, vesting annually from July 12, 2023

Incentive Stock Options (1) 1,000,000 shares at $2.36 Exercise price $2.36 per share, expiration July 13, 2032

Non-Statutory Stock Options (1) 200,000 shares at $0.61 Exercise price $0.61 per share, expiration May 12, 2031

Non-Statutory Stock Options (2) 150,000 shares at $0.35 Exercise price $0.35 per share, expiration April 29, 2029

Milestone revenues $10M / $25M / $50M Gross revenue targets tied to vesting of 170k, 330k and 500k option shares

Key Terms

Incentive Stock Options, Non-Statutory Stock Options, Restricted Stock Units, gross revenues, +1 more

5 terms

Incentive Stock Options financial

"These options vested in instalments of 37,500 shares on each of 9/29/2019..."

Incentive stock options are a type of employee stock option that gives eligible workers the right to buy company shares at a fixed price later on, often below future market value. They matter to investors because they align employee incentives with company performance, can dilute existing ownership when exercised, and create potential tax advantages for option holders if certain holding-time rules are met — think of them as a coupon to buy stock at today’s price with extra tax rules attached.

Non-Statutory Stock Options financial

"Non-Statutory Stock Options with exercise prices of 0.6100 and 0.3500 per share..."

Non-statutory stock options are a type of reward that companies give to employees, allowing them to buy company shares at a set price within a certain period. Unlike formal or government-approved plans, these options are more flexible but may have different tax implications. For investors, they can influence a company's stock price and financial health, making them an important factor to consider.

Restricted Stock Units financial

"These RSUs vest in equal annual instalments of 100,000 shares, commencing on July 12, 2023..."

Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.

gross revenues financial

"upon achievement of gross revenues of $10 million; ... $25 million; ... $50 million."

2018 Incentive Stock Plan financial

"issued in exchange for services pursuant to an Incentive Stock Option Agreement under the 2018 Incentive Stock Plan."

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

Form 4 Insider Transactions: What Each Field Means →

SEC Form 4

FORM 4

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

OMB APPROVAL

OMB Number:			3235-0287
Estimated average burden
hours per response:			0.5

Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

X

Check this box to indicate that a transaction was made pursuant to a contract, instruction or written plan for the purchase or sale of equity securities of the issuer that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c). See Instruction 10.

1. Name and Address of Reporting Person^*

Donaghey Christopher Wayne

(Last) (First) (Middle)

C/O APPLIED ENERGETICS, INC.

9070 S. RITA ROAD, SUITE 1500

(Street)

TUCSON ARIZONA 85747

(City) (State) (Zip)

UNITED STATES

(Country)

2. Issuer Name and Ticker or Trading Symbol
APPLIED ENERGETICS, INC. [ AERG ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

X	Director		10% Owner
X	Officer (give title below)		Other (specify below)
	President & CEO

2a. Foreign Trading Symbol

3. Date of Earliest Transaction (Month/Day/Year)
06/01/2026

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

4. If Amendment, Date of Original Filed (Month/Day/Year)

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
			Code	V	Amount	(A) or (D)	Price
Common Stock, par value $0.001 per share	06/01/2026		S		10,000	D	$1.5	113,592	D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Incentive Stock Options	$0.78							(1)	(1)	Common Stock, par value $.001 per share	1,000,000		1,000,000	D
Non-Statutory Stock Options	$0.35							(2)	04/29/2029	Common Stock, par value $.001 per share	150,000		150,000	D
Non-Statutory Stock Options	$0.61							(3)	05/12/2031	Common Stock, par value $.001 per share	200,000		200,000	D
Incentive Stock Options	$2.36							(4)	07/13/2032	Common Stock, par value $.001 per share	1,000,000		1,000,000	D
Restricted Stock Units	(5)							(5)	(5)	Common Stock, par value $.001 per share	100,000		100,000	D

Explanation of Responses:

1. The options vest upon the achievement of specified revenue milestones as follows: with respect to 170,000 Shares, upon achievement of gross revenues of $10 million; with respect to an additional 330,000 Shares, upon achievement of gross revenues of $25 million; and with respect to the remaining 500,000 Shares, upon achievement of gross revenues of $50 million. They were issued in exchange for services pursuant to an Incentive Stock Option Agreement under the 2018 Incentive Stock Plan and expire ten years from the date of grant.

2. These options vested in instalments of 37,500 shares on each of 9/29/2019, 4/29/2020, 9/29/2020 and 4/29/2021. They were issued in exchange for services pursuant to an Incentive Stock Option Agreement under the 2018 Incentive Stock Plan.

3. These options vested on May 12, 2022. They were issued in exchange for services pursuant to an Incentive Stock Option Agreement under the 2018 Incentive Stock Plan.

4. These options vest over four years, in equal annual instalments of 250,000 shares, commencing on July 12, 2023, having currently vested as to 750,000 shares. They were issued in exchange for services pursuant to an Incentive Stock Option Agreement under the 2018 Incentive Stock Plan.

5. These RSUs vest in equal annual instalments of 100,000 shares, commencing on July 12, 2023 and have no expiration date or exercise price.

	/s/ Christopher Donaghey	06/03/2026
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.
* Form 4: SEC 1474 (03-26)

FAQ

What did AERG CEO Christopher Donaghey report in this Form 4?

Christopher Wayne Donaghey reported selling 10,000 shares of Applied Energetics common stock at $1.50 per share. After this open-market transaction, he directly holds 113,592 common shares, alongside substantial unexercised options and restricted stock units tied to company performance.

How many AERG shares does the CEO hold after the reported sale?

Following the reported transaction, the CEO directly holds 113,592 shares of Applied Energetics common stock. This figure reflects his position after selling 10,000 shares at $1.50 per share, as disclosed in the Form 4 insider filing data.

What price and size was the CEO’s AERG share sale?

The CEO sold 10,000 shares of Applied Energetics common stock at a price of $1.50 per share. This open-market sale is the only buy-or-sell transaction in the filing, with the remaining entries reflecting ongoing derivative and equity award holdings.

What stock options does the AERG CEO still hold after this Form 4?

The CEO continues to hold several option grants, including Incentive Stock Options for 1,000,000 shares at $2.36 per share expiring on July 13, 2032, and Non-Statutory Stock Options for 200,000 shares at $0.61 per share expiring on May 12, 2031, among others.

How do the CEO’s AERG options vest according to the filing footnotes?

Some options vest based on revenue milestones: 170,000 shares at $10 million gross revenues, an additional 330,000 at $25 million, and 500,000 at $50 million. Other grants vest in scheduled installments under the 2018 Incentive Stock Plan.

What restricted stock units (RSUs) does the AERG CEO hold?

The CEO holds 100,000 RSUs tied to Applied Energetics common stock. Footnotes state these RSUs vest in equal annual installments of 100,000 shares, beginning on July 12, 2023, and they have no expiration date or exercise price.