Form 4: IBM Director David N. Farr Acquires Shares Through Deferred Compensation Plan

IBM director David N. Farr acquired 338 shares of common stock through a deferred compensation plan.

Summary

• David N. Farr, a director at International Business Machines Corp (IBM), acquired 338 shares of IBM common stock on December 29, 2023.
• 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 retirement in either company stock or cash.
• The price of the shares at the time of the transaction was $163.55.
• Following this transaction, Mr. Farr directly owns 19,439 shares of IBM common stock.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction, which is generally neutral to positive. The acquisition of shares by a director can be seen as a sign of confidence in the company.

Positives

• The acquisition of shares by a director can be seen as a positive sign of confidence in the company's future.

Industry Context

This is a routine filing related to insider transactions and is common for publicly traded companies. It reflects the compensation structure for board members.

Comparison to Industry Standards

• Deferred compensation plans are a common practice for directors of large public companies like IBM.
• The use of stock awards as part of compensation is also standard practice to align the interests of directors with those of shareholders.
• Other technology companies such as Microsoft, Apple, and Oracle also use similar compensation structures for their board members.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it indicates a director's confidence in the company.

Key Dates

Keywords

IBM, insider trading, Form 4, David N. Farr, director, deferred compensation, equity award plan, share acquisition