Form 4: IBM Director Acquires Shares Through Deferred Compensation Plan

IBM director Frederick H. Waddell acquired 535 shares of common stock through a deferred compensation plan.

Summary

• Frederick H. Waddell, a director at IBM, acquired 535 shares of IBM common stock on June 28, 2024.
• The shares were acquired through the IBM Board of Directors Deferred Compensation and Equity Award Plan.
• These shares are considered 'Promised Fee Shares' and will be distributed after Mr. Waddell's retirement.
• The price of the shares at the time of acquisition was $172.95 per share.
• Following this transaction, Mr. Waddell directly owns 19,933 shares of IBM common stock.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally viewed neutrally to slightly positive as it aligns director interests with the company's performance.

Positives

• The acquisition of shares by a director demonstrates confidence in the company's future.
• The use of a deferred compensation plan aligns the director's interests with the long-term performance of the company.

Industry Context

This is a routine transaction related to director compensation and is common practice for publicly traded companies.

Comparison to Industry Standards

• Deferred compensation plans are a common method of compensating directors in large public companies like IBM.
• Many companies, such as Apple, Microsoft, and Google, use similar equity-based compensation plans for their board members.
• The number of shares acquired is relatively small compared to the overall outstanding shares of IBM, which is typical for director compensation.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns director interests with the company's long-term performance.

Key Dates

Keywords

IBM, director, share acquisition, deferred compensation, equity award plan, insider trading, Form 4