Form 4: Director Cheryl Pegus Receives BSX Deferred Stock Units

Boston Scientific Director Cheryl Pegus acquired 24 deferred stock units as part of her compensation, vesting at the next annual meeting.

Summary

• Cheryl Pegus, a Director of Boston Scientific Corp (BSX), acquired 24 Deferred Stock Units (DSUs) on March 2, 2026.
• These DSUs were granted in lieu of 50% of her yearly cash compensation.
• Each DSU represents a commitment by Boston Scientific to issue one share of its common stock.
• The DSUs will vest in full upon the next annual meeting of stockholders.
• Vested shares will be issued to Ms. Pegus following her separation from Board of Directors service, in accordance with the Company's Non-Employee Director Deferred Compensation Plan.
• The value of the 24 DSUs granted is $1,845.25.
• Following this transaction, Ms. Pegus beneficially owns 5,917 derivative securities (DSUs).

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a positive, routine event demonstrating continued director engagement and alignment with shareholder interests through equity compensation.

Positives

• The grant of deferred stock units aligns the director's interests with long-term shareholder value.
• Equity compensation for directors is a common practice that encourages commitment to the company's future performance.

Negatives

• No immediate cash compensation for 50% of yearly compensation, which is typical for equity awards but defers liquidity for the director.

Risks

• Intentional misstatements or omissions of facts constitute Federal Criminal Violations (18 U.S.C. 1001 and 15 U.S.C. 78ff(a)).

Future Outlook

Deferred stock units will vest in full upon the next annual meeting of stockholders. Vested shares will be issued to the reporting person following separation from Board of Directors service.

Industry Context

StockSavvy.ai notes that equity-based compensation for non-employee directors is a common practice across the medical device industry, aligning director interests with long-term shareholder value. This particular grant is a routine compensation event.

Comparison to Industry Standards

• Equity compensation for non-executive directors is a standard corporate governance practice, seen in companies like Medtronic (MDT) and Abbott Laboratories (ABT), where a portion of director fees are often paid in stock or stock units to foster long-term alignment.
• The vesting schedule upon the next annual meeting and issuance upon board separation is typical for deferred compensation plans for non-employee directors, ensuring continued engagement during their tenure.

Corporate Governance

Stakeholder Impact

• Shareholders: Positive impact due to increased alignment of director's interests with long-term shareholder value through equity compensation.
• Director (Cheryl Pegus): Receives equity compensation, deferring cash but gaining potential upside from stock appreciation.

Next Steps

• Vesting of the 24 deferred stock units upon the next annual meeting of stockholders.
• Issuance of vested shares to Cheryl Pegus following her separation from Board of Directors service.

Key Dates

Recommendation

This Form 4 filing details a routine grant of deferred stock units to a non-employee director as part of their compensation. Such transactions are standard practice for aligning director incentives with shareholder interests and do not typically signal a change in the company's fundamental outlook or warrant a change in investment recommendation.

Keywords

Boston Scientific, BSX, Form 4, Insider Transaction, Deferred Stock Units, Director Compensation, Equity Compensation