Form 4: AMD CEO Lisa Su Exercises Stock Options and Sells Shares Under 10b5-1 Plan

AMD's CEO, Lisa Su, exercised stock options and sold shares of the company's common stock on August 20, 2024, under a pre-arranged Rule 10b5-1 trading plan.

Summary

• On August 20, 2024, Lisa Su, the CEO of Advanced Micro Devices (AMD), exercised stock options to acquire 80,000 shares of AMD common stock at a price of $19.10 per share.
• Simultaneously, Su sold a total of 80,000 shares of AMD common stock in a series of transactions at prices ranging from $155.16 to $161.94 per share.
• These transactions were executed under a pre-arranged Rule 10b5-1 trading plan adopted on November 20, 2023.
• Following these transactions, Su directly owns 3,566,762 shares of AMD common stock.
• Su also indirectly owns shares through various grantor retained annuity trusts.

Sentiment

Score: 5

Explanation: The sentiment is neutral as the transactions were pre-planned and executed under a 10b5-1 trading plan. It's a routine disclosure.

Positives

• The transactions were executed under a pre-arranged 10b5-1 trading plan, which is a legal and transparent way for insiders to trade company stock.

Industry Context

Insider transactions are common and closely monitored, especially in the technology sector. The use of a 10b5-1 plan indicates a pre-planned strategy for these transactions.

Comparison to Industry Standards

• It is common for CEOs of publicly traded companies, such as NVIDIA, Intel, and Qualcomm, to have 10b5-1 trading plans in place.
• The volume of shares sold is not unusual for a CEO of a company the size of AMD.
• The price range of the sales is consistent with the current trading price of AMD stock.

Stakeholder Impact

• The transactions may have a minor impact on shareholders due to the increased supply of shares in the market, but the effect is likely to be minimal given the volume and the pre-planned nature of the sales.

Key Dates