[Form 4] METHODE ELECTRONICS INC Insider Trading Activity
Brian J. Cadwallader, a director of Methode Electronics, Inc. (MEI), reported transactions dated 09/16/2025. He was granted 18,543 shares of phantom stock under the 2022 Omnibus Incentive Plan with immediate vesting; each phantom share represents the economic equivalent of one share of the company's common stock and is payable in actual shares upon distribution from the Nonqualified Deferred Compensation Plan. The filing shows a price of $8 associated with the phantom stock and lists 46,071.42 as the amount of securities beneficially owned following the transaction.
The report also discloses a disposition of 6,800 shares of common stock. The director elected to defer the awarded phantom stock under the Company’s Deferred Compensation Plan. The Form 4 was signed on behalf of Mr. Cadwallader by an attorney-in-fact on 09/18/2025.
- Immediate vesting of 18,543 phantom shares under the 2022 Omnibus Incentive Plan
- Election to defer the award into the company’s Nonqualified Deferred Compensation Plan, aligning pay with longer-term outcomes
- Disposition of 6,800 common shares by the reporting director, reducing direct ownership
- No additional context on why the disposition occurred (e.g., sale for diversification or other personal reasons) is provided in the filing
Insights
TL;DR: Routine director compensation and share disposition; limited market impact absent larger context.
The filing documents an equity award of 18,543 phantom shares that vested immediately and was deferred into the company’s Nonqualified Deferred Compensation Plan, indicating compensation delivered as equity-linked deferred pay rather than immediate market sales. The separate reported disposition of 6,800 common shares reduces his direct shareholding. These actions are typical for director compensation and personal liquidity management and are not, by themselves, materially transformative for MEI absent additional company-wide developments or larger insider trading patterns.
TL;DR: Governance practice consistent with director alignment; deferral suggests alignment with shareholders while enabling tax/retirement planning.
The director received immediate vesting of phantom stock under the 2022 Omnibus Incentive Plan and elected to defer payout under the Company’s Deferred Compensation Plan, which is a common governance mechanism to align director incentives with long-term shareholder value. The disclosure of a 6,800-share disposition is a standard reporting event. No unusual accelerations, loans, or related-party transactions are disclosed in this Form 4.