Motorcar Parts of America Sets Ambitious $22 Stock Target in Executive Compensation Plan
Rhea-AI Filing Summary
Kamlesh Shah, Chief Accounting Officer of Motorcar Parts of America (MPAA), reported multiple insider transactions on June 20-21, 2025:
- Acquired 1,737 shares from vested RSUs and 1,912 shares from performance-based stock units on June 20
- Disposed of 1,382 shares at $9.76 for tax obligations
- Acquired 2,788 shares from RSUs on June 21
- Disposed of 1,083 shares at $9.76 for tax obligations
- Received new grants: 11,646 RSUs vesting over 3 years and 5,823 performance-based stock units tied to stock price targets ($15-$22)
Following these transactions, Shah directly owns 27,670 shares. The new performance units will vest based on achieving specific stock price thresholds between $15-$22 during a three-year performance period ending June 20, 2028, with potential for 150% payout at the highest tier.
Positive
- Chief Accounting Officer received new performance-based stock units (PSUs) with ambitious price targets up to $22/share, representing significant upside potential from current levels
- Executive granted 11,646 new RSUs and 5,823 PSUs, demonstrating long-term retention incentives and alignment with shareholder interests
Negative
- None.
Insider Trade Summary
Net Buyer: 3,972 shares
Net Buy
9 txns
Insider
Shah Kamlesh
Role
Chief Accounting Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units | 2,788 | $0.00 | $0.00 |
| Exercise | Common Stock | 2,788 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Common Stock | 1,083 | $9.76 | $11K |
| Exercise | Restricted Stock Units | 1,737 | $0.00 | $0.00 |
| Grant/Award | Restricted Stock Units | 11,646 | $0.00 | $0.00 |
| Grant/Award | Performance Based Stock Units | 5,823 | $0.00 | $0.00 |
| Exercise | Common Stock | 1,737 | $0.00 | $0.00 |
| Exercise | Common Stock | 1,912 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Common Stock | 1,382 | $9.76 | $13K |
Holdings After Transaction:
Restricted Stock Units — 17,223 shares (Direct);
Performance Based Stock Units — 5,823 shares (Direct);
Common Stock — 27,670 shares (Direct)
Footnotes (7)
- F1. Shares earned upon vesting of RSUs
- F2. Shares earned under the performance based stock units granted on 20-Jun-2022
- F3. Used to pay taxes upon vesting of RSUs and PSUs.
- F4. Vesting 1/3 each year for 3 years from grant date, beginning on 20-Jun-2022
- F5. Vesting 1/3 each year for 3 years from grant date, beginning on 20-Jun-2025
- F6. One-third of these Performance Based Stock Units ('PSUs') will vest if the Company achieves a 30 trading-day trailing average market closing price ('Price Per Share') of at least $15 during the three-year period ending on the earlier of 20-Jun-2028 and the date of consummation of a change in control (the 'Performance Period'); another one-third of these PSUs will vest if the Company achieves a Price Per Share during the Performance Period of at least $17 during the Performance Period; and the remaining one-third of these PSUs will vest if the Price Per Share is equal to or greater than $18 as follows: 50% if the Price Per Share equals $18, 100% if the Price Per Share equals $20 and 150% if the Price Per Share equals or exceeds $22 (if the Price Per Share falls between these levels the vesting percentage will be determined using interpolation).
- F7. Vesting 1/3 each year for 3 years from grant date. beginning on 21-Jun-2024
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What insider transactions did MPAA's Chief Accounting Officer Kamlesh Shah report on June 28, 2025?
On June 20-21, 2025, CAO Kamlesh Shah acquired several stock awards: 1,737 shares from vested RSUs, 1,912 shares from performance-based units, and 2,788 RSU shares. He disposed of 2,465 shares total (1,382 + 1,083) at $9.76 per share for tax purposes. Additionally, he was granted 11,646 new RSUs and 5,823 performance-based stock units.
What are the vesting conditions for MPAA's new Performance Based Stock Units (PSUs) granted to Shah?
The new PSUs vest in three tranches based on stock price targets: 1/3 vests at $15 share price, 1/3 at $17, and 1/3 at $18-22 (with 50% vesting at $18, 100% at $20, and 150% at $22+). These targets must be achieved during the three-year performance period ending June 20, 2028, based on 30-day trailing average prices.
What is the vesting schedule for MPAA's new Restricted Stock Units (RSUs) granted to Shah?
The 11,646 new RSUs granted on June 20, 2025, will vest over three years, with one-third vesting each year beginning June 20, 2025. The vesting period extends through December 31, 2028.