Form 4: Cisco Executive Gary Steele Acquires 174,962 Shares Through Restricted Stock Unit Award

Cisco Systems executive Gary Steele acquired 174,962 shares of common stock through a restricted stock unit award, with vesting occurring over time.

Summary

• Gary Steele, President of Go-to-Market at Cisco Systems, acquired 174,962 shares of Cisco common stock on September 19, 2024.
• The acquisition was through a restricted stock unit award, meaning the shares will vest over time.
• 34% of the shares will vest on November 10, 2025, and the remaining shares will vest quarterly at a rate of 8.25% per quarter.
• Mr. Steele also has 6,447 shares held indirectly through a trust.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, which is generally viewed positively as it aligns executive interests with shareholder value. The vesting schedule is typical and does not raise any concerns.

Positives

• The acquisition of shares by a key executive like Gary Steele can be seen as a positive sign of confidence in the company's future.

Future Outlook

The restricted stock units will vest over time, with the first vesting date on November 10, 2025, and subsequent quarterly vesting.

Industry Context

This type of stock award is a common practice for compensating and incentivizing executives in the technology industry.

Comparison to Industry Standards

• Stock-based compensation is a standard practice among large technology companies like Cisco, with companies such as Microsoft, Apple, and Google also using similar methods to incentivize their executives.
• The vesting schedule of 34% initially and then quarterly is a fairly typical vesting schedule for restricted stock units.

Stakeholder Impact

• The stock award aligns the executive's interests with those of shareholders, as the value of the award is tied to the company's stock performance.
• The vesting schedule encourages long-term commitment from the executive.

Key Dates

Keywords

Cisco Systems, Gary Steele, restricted stock units, stock award, insider trading, executive compensation, equity