Form 4: AMAT SVP Timothy Deane Reports RSU Tax Withholding

Applied Materials SVP Timothy Deane reported the automatic withholding of 1,891 shares of common stock to cover tax obligations related to RSU vesting.

Summary

• Timothy M. Deane, SVP of Applied Global Services at Applied Materials, Inc. (AMAT), reported a transaction on January 1, 2026.
• 1,891 shares of common stock were automatically withheld to cover tax withholding obligations upon the vesting of restricted stock units.
• The shares were disposed of at a price of $256.99 per share.
• Following this transaction, Mr. Deane beneficially owns 143,204 shares of common stock.
• This total includes 65,058 performance share units (PSUs) and restricted stock units (RSUs) that are scheduled to vest in the future.
• 28,867 RSUs are scheduled to vest in installments in October 2026 and December 2026 through 2028.
• 36,191 PSUs are scheduled to vest in installments in December 2026 through 2028, with the actual number of shares ranging from 0% to 200% of the target based on performance goals.
• All future vesting is contingent upon continued employment.

Sentiment

Score: 6

Explanation: The filing reports a routine tax-related disposition of shares upon RSU vesting, which is a neutral event. The executive retains significant beneficial ownership, including substantial future vesting, indicating continued alignment with shareholder interests. The future vesting is positive for executive retention.

Positives

• The vesting of restricted stock units indicates continued employment and retention of a key executive.
• The executive retains a significant beneficial ownership of 143,204 shares, aligning interests with shareholders.

Negatives

• The disposition of 1,891 shares, while for tax purposes, reduces the executive's direct shareholding.

Risks

• The actual number of shares vesting from performance share units (36,191 target) can range from 0% to 200% depending on the achievement of specified performance goals, introducing variability in future share ownership.
• All future vesting is subject to continued employment through each applicable vesting date, posing a risk if employment ceases.

Future Outlook

The filing indicates future vesting events for 65,058 performance share units and restricted stock units, scheduled in installments from October 2026 through 2028, contingent on continued employment and, for PSUs, achievement of performance goals.

Industry Context

This is a routine insider transaction filing (Form 4) for an executive's compensation-related stock activity. It does not provide information directly related to broader industry trends or competitors, but it reflects standard executive compensation practices within the semiconductor equipment industry.

Stakeholder Impact

• Shareholders: The executive's continued significant beneficial ownership, including future vesting, aligns their interests with shareholders. The tax withholding is a minor, routine event.
• Employees: The vesting schedule and continued employment of a key SVP indicate stability in executive leadership.

Next Steps

• Vesting of 28,867 restricted stock units in installments in October 2026 and December 2026 through 2028.
• Vesting of 36,191 performance share units in installments in December 2026 through 2028, subject to performance goals.

Key Dates

Recommendation

This Form 4 filing details a routine, pre-scheduled insider transaction related to executive compensation (tax withholding upon RSU vesting). It does not contain information that would fundamentally alter the investment thesis for Applied Materials. The executive's continued significant beneficial ownership and future vesting schedule suggest ongoing alignment with company performance. Therefore, a 'hold' recommendation is appropriate as this filing provides no new material information to change an existing position.

Keywords

Applied Materials, AMAT, SEC Form 4, Insider Transaction, Restricted Stock Units, Performance Share Units, Executive Compensation, Stock Vesting, Timothy Deane