Consumer Portfolio Services Director Daniel Wood Exercises Stock Options, Acquires 30,000 Shares

Director Executes Dual Share Acquisition Strategy

Daniel S. Wood, identified as a director of Consumer Portfolio Services Inc., completed two distinct equity transactions on July 24, 2026, according to the regulatory disclosure filed on July 28, 2026. The first transaction involved a market purchase of 30,000 shares of common stock at a price of $3.53 per share, representing a direct acquisition of equity. This open market purchase reflects Wood's decision to increase his ownership stake in the company through standard trading channels available to company insiders.

The second transaction involved the exercise of previously issued stock options. Wood held options to purchase 30,000 shares at an exercise price of $3.53 per share. The options had an expiration date of August 8, 2026, creating urgency around their exercise before expiration. Rather than exercising these options in full through a standard cash settlement or broker-assisted cashless exercise, Wood elected to execute a net exercise, a strategy that allowed him to settle the transaction through share forfeiture rather than a direct cash outlay.

Net Exercise Mechanism Results in Net Gain of 18,793 Shares

The net exercise of Wood's stock options generated a more complex transaction than a standard option exercise. According to the filing, Wood received 18,793 shares of common stock from the net exercise while forfeiting 11,207 shares that were underlying the option to satisfy the exercise price. This structure is typical in cashless or net exercise scenarios where shares are withheld or forfeited to cover the strike price of the options being exercised, reducing the net number of shares ultimately acquired by the executive.

The filing indicates that the shares were forfeited based on the closing stock price of CPSS common stock on July 24, 2026, which was $9.45 per share. This net exercise mechanism preserved Wood's liquidity while allowing him to realize the economic benefit of options that had appreciated significantly since their issuance. The calculation shows that approximately 11,207 shares valued at $9.45 each were needed to cover the $3.53 exercise price for all 30,000 underlying shares, resulting in the net delivery of 18,793 shares to Wood.

Beneficial Ownership Position Expands Following Transactions

Following completion of both transactions, Wood's direct beneficial ownership of Consumer Portfolio Services common stock increased to 224,943 shares, the filing discloses. This figure reflects the aggregated impact of the 30,000-share market purchase and the 18,793-share net gain from the option exercise. Additionally, the filing indicates that Wood maintained 213,736 shares of direct beneficial ownership related to the derivative securities activity, which represents the option holdings valued at their fair market value as of the transaction date.

The expanded ownership position suggests Wood's confidence in the company's prospects and his commitment to maintaining a meaningful equity stake in Consumer Portfolio Services. As a director of the company, Wood's insider holdings are subject to regulatory reporting requirements and trading restrictions designed to prevent conflicts of interest and ensure fair dealing. The timing and scale of these transactions may be of interest to investors monitoring insider activity at the automotive finance company.

Options Approaching Expiration Date Driven Exercise Decision

The stock options exercised by Wood carried an expiration date of August 8, 2026, just over two weeks following the exercise transaction on July 24, 2026. This near-term expiration date likely influenced Wood's decision to exercise the options before they expired worthless. With the August 8 expiration deadline approaching, Wood faced a choice between exercising the in-the-money options or allowing them to expire without value. The options had an exercise price of $3.53 per share, well below the market price of approximately $9.45 on the transaction date, making the exercise economically advantageous.

The closing price of $9.45 per share on July 24, 2026, represented the benchmark used to calculate the number of shares Wood needed to forfeit in the net exercise transaction. This $5.92 per share spread between the exercise price and the market price created substantial intrinsic value in the options, making their exercise an attractive means for Wood to acquire additional CPSS equity. The net exercise structure allowed Wood to participate in this value capture without deploying significant capital.

Transaction Codes Reflect Market Purchase and Option Exercise Activity

The regulatory filing employed specific transaction codes to classify Wood's activities on July 24, 2026. The initial 30,000-share purchase was coded as "M," indicating an open market purchase at the prevailing market price. This designation distinguishes the transaction from other acquisition methods such as private sales, option exercises, or non-public offerings. The market purchase demonstrates that Wood acquired his shares through standard equity market mechanisms alongside other investors, paying the publicly quoted price for CPSS common stock.

The option exercise was coded as "F," which typically indicates option exercise or the satisfaction of derivative security obligations. The use of separate transaction codes for each activity ensures clear regulatory reporting and allows investors and regulators to distinguish between Wood's various forms of insider trading activity. The dual-transaction reporting requirement reflects securities law provisions that mandate disclosure of both direct security acquisitions and derivative security exercises by company insiders.

Director Status and Ownership Structure

The filing confirms that Daniel S. Wood serves as a director of Consumer Portfolio Services Inc. and identifies him as residing in Las Vegas, Nevada, at an address listed as Suite 1400, 3800 Howard Hughes Parkway. Wood's director status places him among the company's governance leadership and subjects him to enhanced disclosure obligations under securities regulations. Directors are typically subject to heightened scrutiny regarding their trading activities due to their access to material non-public information and their fiduciary duties to the company and its shareholders.

All of Wood's beneficial ownership interest in CPSS common stock appears to be held directly rather than through indirect ownership structures such as trusts, family partnerships, or corporate entities. The filing indicates that both the market purchase of 30,000 shares and the net exercise of options resulted in direct ownership, with no indirect beneficial ownership arrangements noted. Direct ownership provides clear visibility to regulators and other investors regarding Wood's personal economic interest in the company's performance.

Regulatory Filing and Disclosure Timeline

Wood's insider transaction occurred on July 24, 2026, and was reported to the Securities and Exchange Commission through a filing made on July 28, 2026. This four-day delay between the transaction date and the filing date is consistent with regulatory requirements governing insider transaction disclosures. The filing was submitted as a complete form without amendments, indicating that the transaction details were accurately reported on the initial submission to the SEC.

The disclosure document includes a signature line dated July 28, 2026, where Wood certified the accuracy and completeness of the reported transaction information. The certification carries legal weight, as the form includes a warning that intentional misstatements or omissions of facts constitute federal criminal violations under 18 U.S.C. Section 1001 and 15 U.S.C. Section 78ff(a). This certification requirement underscores the significance of accurate insider trading disclosures and the legal consequences for providing false information to the SEC.

Consumer Portfolio Services and Insider Equity Activity

Consumer Portfolio Services Inc. operates in the automotive finance sector, providing consumer vehicle financing solutions. The company trades on the NASDAQ exchange under the ticker CPSS, making it subject to comprehensive securities reporting and governance requirements applicable to public companies. Insider trading activity, including equity acquisitions by directors and officers, is tracked by investors and market participants as a potential indicator of management confidence in the company's valuation and future prospects.

The acquisition of additional shares by a company director may signal that Wood views the current stock price as attractive relative to his assessment of the company's intrinsic value. However, insider purchases can reflect various motivations, including option exercise requirements, portfolio management strategies, or confidence in company prospects. Investors evaluating insider trading activity should consider the broader context of the company's financial performance, market conditions, and the specific circumstances driving each transaction.