Form 4: Anelise Angelino Sacks, EVP at Analog Devices, Reports Acquisition of Performance-Based Restricted Stock Units

Anelise Angelino Sacks, EVP and Chief Customer Officer at Analog Devices, reports the acquisition of 354 performance-based restricted stock units (PBRSUs) following the certification of performance target achievement.

Summary

• Anelise Angelino Sacks, an Executive Vice President and Chief Customer Officer at Analog Devices Inc., filed a Form 4 on March 21, 2024, reporting a transaction involving performance-based restricted stock units.
• On March 20, 2024, the Issuer's Compensation and Talent Committee certified that pre-established performance parameters relating to the Issuer's relative total shareholder return (TSR) performance against the median TSR of a defined comparator group of companies were achieved at 115.49% of the target established.
• As a result, Sacks acquired 354 performance-based restricted stock units.
• These units will convert to shares of common stock on March 25, 2024, contingent upon continued service.
• Following the reported transaction, Sacks beneficially owns 2,643 derivative securities.

Sentiment

Score: 7

Explanation: The sentiment is moderately positive as it reflects the achievement of performance targets, leading to the vesting of executive compensation. This suggests the company is performing well relative to its peers.

Positives

• The vesting of the performance-based restricted stock units indicates that Analog Devices achieved a significant portion (115.49%) of its target TSR performance relative to its comparator group.
• The vesting of these units incentivizes the executive to continue to perform well for the company.

Future Outlook

The reporting person will receive shares of common stock on March 25, 2024, if they continue to provide service to the company.

Industry Context

Executive compensation packages often include performance-based equity awards to align management's interests with those of shareholders. The vesting of these units suggests that Analog Devices' performance, relative to its peers, has met or exceeded expectations.

Comparison to Industry Standards

• Performance-based equity compensation is a common practice among publicly traded companies, particularly in the technology sector.
• Companies like Texas Instruments (TXN) and Qualcomm (QCOM) also utilize TSR-based performance metrics in their executive compensation plans.
• The specific target achievement of 115.49% would need to be compared against industry benchmarks to determine if it is above or below average.

Stakeholder Impact

• Shareholders may view the vesting of performance-based restricted stock units positively, as it indicates that the company has met or exceeded its performance targets.
• Employees may be motivated by the company's strong performance and the alignment of executive compensation with shareholder value.

Key Dates