Form 4: Cirrus Logic CFO Jeffrey Woolard Reports Acquisition of Performance Shares and Restricted Stock Units

Cirrus Logic's CFO, Jeffrey Woolard, reports the acquisition of performance-based restricted stock units and restricted stock units.

Summary

• Jeffrey Woolard, CFO of Cirrus Logic, Inc., reported the acquisition of performance shares and restricted stock units on March 5, 2025.
• The performance shares, numbering 9,274, are contingent upon achieving pre-established performance metrics over a three-year period starting March 5, 2025, and ending March 5, 2028.
• The restricted stock units include 14,233 units vesting in two tranches on March 5, 2026 (50%) and March 5, 2027 (remaining 50%).
• An additional 23,722 restricted stock units will vest in three tranches: 20% on March 5, 2026, 40% on March 5, 2027, and the remaining shares on March 5, 2028.
• Each restricted stock unit represents the right to receive one share of Cirrus Logic common stock.
• The report was filed on March 7, 2025, by Gregory Scott Thomas, attorney-in-fact, on behalf of Jeffrey Woolard.

Sentiment

Score: 6

Explanation: The document is a routine regulatory filing related to executive compensation. It doesn't contain information that would significantly impact investor sentiment positively or negatively.

Positives

• The acquisition of performance shares aligns executive compensation with company performance, incentivizing value creation for shareholders.
• The vesting schedules for the restricted stock units encourage long-term commitment from the CFO.

Risks

• The actual number of shares received from the performance-based restricted stock units depends on the achievement of pre-established performance metrics, which may not be met.
• Vesting of restricted stock units is subject to continued employment, creating a potential risk if the executive leaves the company before the vesting dates.

Future Outlook

The vesting of the restricted stock units and performance shares is contingent upon continued employment and the achievement of performance metrics over the next three years.

Industry Context

Form 4 filings are a routine part of executive compensation and provide transparency into the holdings of company insiders. This filing indicates standard equity-based compensation practices.

Comparison to Industry Standards

• Equity compensation, including restricted stock units and performance shares, is a common practice among publicly traded technology companies to align executive interests with shareholder value.
• Companies like Texas Instruments (TXN) and Analog Devices (ADI) also utilize similar equity-based compensation plans for their executives.

Stakeholder Impact

• Shareholders may view the equity-based compensation as a positive sign, aligning management's interests with long-term company performance.
• Employees may see the executive compensation as a reflection of the company's commitment to rewarding performance.

Key Dates