KB Home (NYSE: KBH) director receives 2,895 stock units grant
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Gilligan Thomas W. reported acquisition or exercise transactions in this Form 4 filing.
KB Home director Thomas W. Gilligan received an equity grant of 2,895 common stock units on April 23, 2026. The units were awarded under the Amended and Restated KB Home Non-Employee Directors Compensation Plan and are exempt under Rule 16b-3.
Each common stock unit represents the right to receive one share of KB Home common stock, so the award increases his direct equity-based interest without any cash payment. Following this grant, Gilligan directly holds 54,256 shares of KB Home common stock, reflecting a routine compensation-related increase rather than an open‑market purchase.
Positive
- None.
Negative
- None.
Insider Trade Summary
1 transaction reported
Mixed
1 txn
Insider
Gilligan Thomas W.
Role
null
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Grant/Award | Common Stock | 2,895 | $0.00 | -- |
Holdings After Transaction:
Common Stock — 54,256 shares (Direct, null)
Footnotes (1)
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Key Figures
Equity award size: 2,895 common stock units
Price per unit: $0.00 per unit
Shares held after grant: 54,256 shares
3 metrics
Equity award size
2,895 common stock units
Grant to non-employee director on April 23, 2026
Price per unit
$0.00 per unit
Compensation grant, not an open-market purchase
Shares held after grant
54,256 shares
Direct KB Home common stock holdings after transaction
Key Terms
Amended and Restated KB Home Non-Employee Directors Compensation Plan, Rule 16b-3, common stock units
3 terms
Amended and Restated KB Home Non-Employee Directors Compensation Plan financial
"Award of common stock units under the Amended and Restated KB Home Non-Employee Directors Compensation Plan"
Rule 16b-3 regulatory
"which award is exempt under Rule 16b-3"
Rule 16b-3 is a Securities and Exchange Commission regulation that exempts certain routine, pre-approved transactions by company insiders from automatic liability for short-term trading profits. It acts like a safe harbor: if an insider follows a formal plan or the board approves specific transactions in advance, profits from buying and selling company stock within six months are not automatically reclaimed. Investors care because the rule clarifies when insider trades are permissible and reduces uncertainty about potential clawbacks.
common stock units financial
"Award of common stock units under the Amended and Restated KB Home Non-Employee Directors Compensation Plan"
FAQ
What did KB Home (KBH) director Thomas W. Gilligan report on this Form 4?
Thomas W. Gilligan reported receiving an award of 2,895 common stock units. These units were granted as director compensation under KB Home’s Amended and Restated Non-Employee Directors Compensation Plan, rather than acquired through an open-market stock purchase.
What are the 2,895 common stock units granted to the KB Home director?
The 2,895 common stock units are equity awards where each unit represents the right to receive one share of KB Home common stock. They were issued as compensation under the company’s Non-Employee Directors Compensation Plan, with no cash paid per unit in this transaction.
Was the KB Home director’s 2,895-unit award an open-market stock purchase?
No. The 2,895 units were a grant under KB Home’s Amended and Restated Non-Employee Directors Compensation Plan. The Form 4 classifies the transaction as a grant or award acquisition, exempt under Rule 16b-3, rather than an open-market buy of shares.
What does Rule 16b-3 exemption mean for this KBH Form 4 transaction?
The Rule 16b-3 exemption indicates the 2,895-unit award is an approved, issuer-sponsored compensation grant for an insider. It confirms the transaction is structured under SEC rules for director and officer equity awards, not as a discretionary market trade in KB Home stock.