Javier Feliciano
Meritage HomesAbout Javier Feliciano
Javier Feliciano is Executive Vice President and Chief People Officer (CPO) of Meritage Homes, age 51 as of December 31, 2024, and has led People Operations since joining Meritage in November 2015 after senior HR roles at Apollo Education Group . Meritage’s 2024 performance metrics underpinning Feliciano’s pay were strong: total home closing revenue rose 4.7% to $6.3 billion, net earnings reached $786.2 million, and Adjusted EBITDA was $1,114.5 million; three-year relative TSR for the 2022–2024 cycle was the 46.1st percentile versus peers .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Apollo Education Group | HR Director | 2010–2013 | Led HR initiatives supporting corporate operations |
| Apollo Education Group | Vice President, Human Resources | 2013–2015 | Senior HR leadership, talent and organizational development |
| Meritage Homes | Chief Human Resources Officer / Chief People Officer (EVP) | Nov 2015–present | Leads People Operations and execution of the company’s people strategy |
Fixed Compensation
Multi-Year Compensation (Summary Compensation Table)
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Salary ($) | $430,000 | $430,000 | $500,000 |
| Stock Awards ($) | $547,542 | $676,353 | $812,997 |
| Non-Equity Incentive Plan Compensation ($) | $485,676 | $806,250 | $747,830 |
| All Other Compensation ($) | $54,399 | $52,424 | $56,623 |
| Total ($) | $1,517,617 | $1,965,027 | $2,117,450 |
2025 Approved Compensation Adjustments
| Item | 2025 Value |
|---|---|
| Base Salary ($) | $515,000 |
| Target Annual Bonus ($) | $386,250 |
| Combined Equity Award Target ($) | $849,750 |
All NEO employment agreements auto-renew annually and were originally effective January 1, 2021 (Feliciano’s employment agreement effective 1/1/2021) .
Perquisites (2024 actual)
| Health & Insurance Premiums ($) | 401(k) Match ($) | Car Allowance ($) | Other ($) | Total All Other Compensation ($) |
|---|---|---|---|---|
| $46,273 | $10,350 | — | — | $56,623 |
Performance Compensation
Annual Incentive Plan – 2024 Results (Paid Feb 2025)
| Metric | Weighting (%) | Target | Actual | NEO Payout (%) | NEO Payout ($) |
|---|---|---|---|---|---|
| Adjusted EBITDA | 60% | ≥ $950,000k | $1,114,494k | 210.2% | $472,842 |
| Home Closings | 30% | ≥ 15,000 | 15,611 | 161.1% | $181,238 |
| Customer Satisfaction Rating | 10% | ≥ 89.0% | 95.0% | 250.0% | $93,750 |
| Total | — | — | — | — | $747,830 |
Cash bonuses for 2024 were paid in February 2025 .
Long-Term Equity – 2024 Grants
- Mix: ~50% performance-based PSUs (Adjusted ROA and rTSR), ~50% time-based RSUs; 3-year cliff vest .
- PSU payout curve (each metric assessed separately): Threshold 50% payout at 50% Adjusted ROA or 25th TSR percentile; Target 100% at 100% ROA or 50th TSR percentile; Maximum 200% at 150% ROA or 75th TSR percentile .
| Grant Type | Grant Date | Target Shares (#) | Threshold (#) | Maximum (#) | Grant-Date Fair Value ($) |
|---|---|---|---|---|---|
| PSUs (Adjusted ROA + rTSR) | 2/22/2024 | 5,386 | 2,693 | 10,772 | ~$412,500 |
| RSUs (time-based) | 2/22/2024 | 5,384 | — | — | $412,361 |
Earned PSUs (as of 12/31/2024)
| Vesting (Month/Year) | Earned but Not Vested (#) |
|---|---|
| Feb 2025 | 7,074 |
| Feb 2026 | 5,230 |
| Feb 2027 | 2,201 |
| Total | 14,505 |
Unearned PSUs at Target (as of 12/31/2024)
| Vesting (Month/Year) | Unearned Target (#) |
|---|---|
| Feb 2026 | 3,190 |
| Feb 2027 | 4,130 |
| Total | 7,320 |
Unvested RSUs and Schedule (as of 12/31/2024)
| Metric | Total |
|---|---|
| Unvested RSUs (#) | 31,319 |
| Market Value ($) at $76.91 close | $2,408,744 |
| Scheduled RSU Vest Date | RSUs (#) |
|---|---|
| Feb 2025 | 5,452 |
| Feb 2026 | 5,978 |
| Feb 2027 | 5,384 |
For the 2022–2024 cycle, PSU outcomes were: rTSR 46.1 percentile (92.2% payout) and Adjusted ROA payouts of 150.0% (2022), 150.0% (2023) and 137.6% (2024) .
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial Ownership (3/27/2025) | 36,278 shares; <1% of outstanding |
| Right to Acquire within 60 days | — |
| Holding structure | All shares held by a living trust |
| Stock Ownership Requirement | CPO: 2× base salary |
| Compliance Status | All officers/directors compliant or transitional as of 12/31/2024 |
| Pledging Policy | Prohibited; none pledged |
| Hedging Policy | Prohibited |
| Options in program | No options currently used |
Rule 10b5-1 Trading Arrangement
| Name/Title | Date Adopted | Duration | Plan Description |
|---|---|---|---|
| Javier Feliciano, EVP & CPO | June 3, 2025 | Feb 23, 2026–Mar 31, 2026 | Sell sufficient shares to cover taxes on equity awards granted Feb 20, 2023 vesting Feb 20, 2026 |
Policy restricts sales before meeting ownership guidelines; executives may sell to cover tax withholdings and, thereafter, may sell no more than 50% of remaining vested awards in a fiscal year until compliant .
Employment Terms
| Provision | Key Terms |
|---|---|
| Employment Agreement | Effective Jan 1, 2021; auto-renews annually unless notice given ≥60 days before year-end |
| Annual Incentive Metrics | Adjusted EBITDA (60%), Home Closings (30%), Customer Satisfaction (10%) |
| Clawback Policy | Recovery of erroneously awarded incentive comp per SEC/NYSE rules; policy on website |
| Severance Multipliers | Good Reason/Without Cause: 125% for NEOs (ex-CEO/EC); Change-in-Control: 200% for NEOs |
| Minimum Severance (non-CIC) | $1,137,500 minimum for Feliciano |
| Potential Termination Benefits (as of 12/31/2024) | Good Reason/Without Cause: $1,876,942; Death/Disability: $3,346,725; Retirement: $3,719,555; Change in Control: $5,132,087 |
| Other Benefits Entitlement | Life insurance up to $3,000,000; disability/long-term care up to $20,000/month |
| Single vs Double Trigger (CIC) | Not disclosed |
Investment Implications
- Pay-for-performance alignment: Incentives are tightly tied to operating drivers (Adjusted EBITDA, closings, customer satisfaction) with clear payout curves; equity is balanced ~50/50 between PSUs (Adjusted ROA and rTSR) and time-based RSUs, fostering multi-year alignment and discouraging excessive risk-taking without options usage .
- Vest-driven supply signals: A Rule 10b5-1 plan specifies tax-withholding sales for the Feb 20, 2026 vest, implying manageable selling pressure in late Feb–Mar 2026; additional RSU/PSU vests are scheduled for Feb 2027, with policy limits on post-withholding sales supporting orderly supply .
- Retention risk and economics: Auto-renewal employment terms, guaranteed minimum severance ($1,137,500), and robust CIC benefits ($5.13 million) suggest low near-term retention risk; clawback provisions and anti-hedging/pledging policies enhance governance quality .
- Ownership alignment: While direct ownership is modest at 36,278 shares (<1%), compliance with a 2× salary ownership guideline, the prohibition of hedging/pledging, and substantial unvested RSUs/PSUs create skin-in-the-game via future vesting rather than options .
- Performance track record context: Company fundamentals (revenue +4.7% YoY to $6.3B; Adjusted EBITDA $1.11B; rTSR 46.1 percentile) underpinned above-target cash payouts in 2024, supporting confidence in operational execution; investors should monitor how 2025–2027 PSU outcomes evolve amid market and cycle shifts .