AJG (AJG) vice president exercises options and sells 3,800 Gallagher shares
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Arthur J. Gallagher & Co. vice president Scott R. Hudson reported a mix of stock option activity and share sales. On March 6, 2026, he exercised 3,800 non-qualified stock options, acquiring 3,800 shares of common stock at an exercise price of $79.59 per share through a derivative conversion.
He then sold 3,800 common shares in an open-market transaction at $227.57 per share, leaving 85,920 common shares held directly after the sale, plus 411.467 shares held indirectly through a Gallagher 401(k) plan account. The filing also lists continuing holdings of phantom stock, notional stock units, and several non-qualified stock option awards, each representing rights that relate to Gallagher common stock under company compensation and deferred compensation plans.
Positive
- None.
Negative
- None.
Insider Trade Summary
Net Seller: 3,800 shares ($864,766)
Net Sell
13 txns
Insider
Hudson Scott R
Role
Vice President
Sold
3,800 shs ($865K)
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Non-qualified Stock Option | 3,800 | $0.00 | -- |
| Exercise | Common Stock | 3,800 | $79.59 | $302K |
| Sale | Common Stock | 3,800 | $227.57 | $865K |
| holding | Phantom Stock | -- | -- | -- |
| holding | Non-qualified Stock Option | -- | -- | -- |
| holding | Non-qualified Stock Option | -- | -- | -- |
| holding | Non-qualified Stock Option | -- | -- | -- |
| holding | Non-qualified Stock Option | -- | -- | -- |
| holding | Non-qualified Stock Option | -- | -- | -- |
| holding | Non-qualified Stock Option | -- | -- | -- |
| holding | Non-qualified Stock Option | -- | -- | -- |
| holding | Notional Stock Units | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
Holdings After Transaction:
Non-qualified Stock Option — 0 shares (Direct);
Common Stock — 89,720 shares (Direct);
Phantom Stock — 3,764.121 shares (Direct);
Notional Stock Units — 4,134.741 shares (Direct);
Common Stock — 411.467 shares (Indirect, Gallagher 401(k) plan account)
Footnotes (1)
- Exercise and sale of expiring stock options. One-third of this stock option becomes exerciseable on each of the 3rd, 4th, and 5th anniversaries of the grant date. Each share of phantom stock represents a right to receive one share of Gallagher common stock. These shares represent awards under the Age 62 Plan, a nonqualified deferred compensation plan of the Company, which have been deemed invested in Company common stock at the election of the reporting person. Participants vest in these awards when they attain age 62, or after a one-year period for participants who have attained age 61. One-third of this stock option becomes exercisable on each of the 3rd, 4th, and 5th anniversaries of the grant date. One-third of this stock option becomes exercisable on each of the 3rd, 4th, and 5th anniversaries of the grant date. One-third of this stock option becomes exercisable on each of the 3rd, 4th, and 5th anniversaries of the grant date. Closing price of Gallagher common stock on February 28, 2025. Each notional stock unit represents a right to receive one share of Gallagher common stock. The notional stock units become payable following the reporting person's separation from service with Gallagher.
FAQ
What did AJG executive Scott R. Hudson report on this Form 4?
Scott R. Hudson exercised 3,800 non-qualified stock options and acquired 3,800 AJG common shares, then sold 3,800 shares in an open-market transaction. After these moves, he reported 85,920 common shares held directly, plus additional deferred and option-based interests.
What was the exercise price of Scott Hudson’s AJG stock options?
He exercised 3,800 non-qualified AJG stock options at an exercise price of $79.59 per share. The transaction was reported as an exercise or conversion of derivative securities, resulting in the acquisition of 3,800 shares of AJG common stock on the same date.
What are the phantom stock and notional stock units reported by AJG’s Scott Hudson?
Each phantom stock share and each notional stock unit represents a right to receive one AJG common share. These awards are linked to company deferred compensation plans, including an Age 62 Plan and units that become payable after Hudson’s separation from service with Gallagher.
How do Scott Hudson’s AJG stock options vest according to the filing footnotes?
Certain non-qualified stock options vest in three equal installments: one-third becomes exercisable on each of the third, fourth, and fifth anniversaries of the grant date. This schedule applies to multiple option awards listed, shaping when Hudson can exercise those options for AJG shares.