cbdMD director receives 1,572-share stock award
Stephen Scott G. reported acquisition or exercise transactions in this Form 4 filing. cbdMD, Inc. director Stephen Scott G. received a grant of 1,572 restricted stock units as compensation for serving on the Board of Directors.
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Form Type
4
Rhea-AI Filing Summary
Stephen Scott G. reported acquisition or exercise transactions in this Form 4 filing.
cbdMD, Inc. director Stephen Scott G. received a grant of 1,572 restricted stock units as compensation for serving on the Board of Directors. Each unit represents one share of common stock and will vest in four quarterly installments on June 30, 2026, September 30, 2026, December 31, 2026, and March 31, 2027. Following this award, he holds 4,412 shares of common stock directly.
Insider Trade Summary
Grant/Award: 1,572 shares
Grant/Award
1 txn
Insider
Stephen Scott G.
Role
Director
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Grant/Award | Common Stock | 1,572 | $0.00 | $0.00 |
Holdings After Transaction:
Common Stock — 4,412 shares (Direct)
Footnotes (1)
- F1. Represents restricted stock units. Each restricted stock unit represents a contingent right to receive one share of the Issuer's common stock. The grant was exempt from Section 16(b) under the Securities Exchange Act of 1934 by virtue of Rule 16b-3 promulgated thereunder as it was approved in advance by the Issuer's Compensation, Corporate Governance and Nominating Committee, which is comprised of three non-employee directors. The restricted stock units vest quarterly on June 30, 2026, September 30, 2026, December 31, 2026 and March 31, 2027. The restricted stock units were issued under the 2021 or 2025 Equity Compensation Plan as compensation to the Reporting Person for services on the Issuer's Board of Directors.
Key Figures
RSU grant size: 1,572 units
Shares held after grant: 4,412 shares
Vesting dates: June 30, 2026; Sept 30, 2026; Dec 31, 2026; Mar 31, 2027
3 metrics
RSU grant size
1,572 units
Restricted stock units granted to director as Board compensation
Shares held after grant
4,412 shares
Total common stock holdings following the RSU award
Vesting dates
June 30, 2026; Sept 30, 2026; Dec 31, 2026; Mar 31, 2027
Quarterly vesting schedule for restricted stock units
Key Terms
restricted stock units, Section 16(b), Rule 16b-3, Equity Compensation Plan
4 terms
restricted stock units financial
"Represents restricted stock units. Each restricted stock unit represents a contingent right"
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.
Section 16(b) regulatory
"The grant was exempt from Section 16(b) under the Securities Exchange Act of 1934"
A federal rule that requires company insiders—like officers, directors and large shareholders—to return any profits made from buying and selling the company’s stock within a six-month window. It matters to investors because it discourages short-term trades that could exploit non-public information and helps protect outside shareholders by creating a simple, enforceable way to recover unfair gains, much like a rule stopping someone from flipping a limited-edition item for quick profit after getting early access.
Rule 16b-3 regulatory
"by virtue of Rule 16b-3 promulgated thereunder as it was approved in advance"
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.
Equity Compensation Plan financial
"issued under the 2021 or 2025 Equity Compensation Plan as compensation"
A plan by which a company gives employees, directors or contractors ownership or the right to buy ownership in the company through stock, options or similar awards — think of promising slices of the company pie as part of someone's pay. It matters to investors because these awards can change the number of shares outstanding, affect reported profits and influence management’s decisions; large or generous plans can dilute existing holders and alter incentives over time.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What insider transaction did cbdMD (YCBD) report for Stephen Scott G.?
cbdMD reported that director Stephen Scott G. received 1,572 restricted stock units as a stock-based compensation award. Each unit equals one share of common stock, granted for his service on the Board of Directors under the company’s equity compensation plan.
Is the cbdMD (YCBD) Form 4 transaction a stock purchase or a grant?
The Form 4 transaction is a stock grant, not a market purchase. Stephen Scott G. was awarded 1,572 restricted stock units at no cash cost as part of his director compensation package, approved by the company’s Compensation, Corporate Governance and Nominating Committee.
How do the 1,572 cbdMD (YCBD) restricted stock units vest?
The 1,572 restricted stock units vest in four quarterly installments. Vesting dates are June 30, 2026, September 30, 2026, December 31, 2026, and March 31, 2027, giving the director contingent rights to receive shares over this period, subject to plan terms.
Under which plan were the cbdMD (YCBD) restricted stock units granted?
The restricted stock units were issued under cbdMD’s 2021 or 2025 Equity Compensation Plan. These plans authorize stock-based awards as compensation, and the grant to director Stephen Scott G. was made for his Board service under the plan’s established terms.
Was the cbdMD (YCBD) stock grant exempt from Section 16(b) short-swing rules?
Yes. The grant was described as exempt from Section 16(b) under Rule 16b-3. This exemption applies because the award was approved in advance by cbdMD’s Compensation, Corporate Governance and Nominating Committee, which consists entirely of non-employee directors.
AI-generated analysis. How Rhea-AI works. Not financial advice.
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