Form 4: Intuitive Surgical EVP Reports Equity Transactions

Intuitive Surgical's EVP & Chief Commercial and Marketing Officer, Henry L. Charlton, reported multiple equity transactions related to RSU and PSU vesting.

Summary

• Henry L. Charlton, EVP & Chief Commercial and Marketing Officer of Intuitive Surgical Inc. (ISRG), reported multiple equity transactions on February 26, 2026.
• Acquired 1,717 shares of common stock and 1,030 shares of common stock through the conversion of Restricted Stock Units (RSUs) at an exercise price of $0.0.
• Disposed of 765 shares and 459 shares of common stock, totaling 1,224 shares, at a price of $506.17 per share to satisfy statutory tax withholding requirements related to the RSU vesting.
• Acquired 3,591 Performance Stock Units (PSUs) which vested on February 28, 2026, following the achievement of certain performance metrics. These PSUs were initially granted on February 28, 2023.
• Acquired 4,032 new Restricted Stock Units (RSUs) on February 26, 2026.
• Following these transactions, Charlton directly owns 5,220 shares of Intuitive Surgical common stock.
• He also holds 10,773 Performance Stock Units and 10,556 Restricted Stock Units (3,434 + 3,090 + 4,032) as derivative securities.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a routine and expected insider transaction, reflecting the vesting of executive equity compensation and the achievement of performance targets, which is generally positive for executive alignment.

Positives

• EVP Charlton increased his direct common stock holdings by a net of 1,523 shares (2,747 shares acquired from vesting minus 1,224 shares disposed for tax).
• Achievement of performance criteria for 3,591 Performance Stock Units, indicating successful attainment of company goals as determined by the Compensation Committee.
• Grant of 4,032 new Restricted Stock Units, further aligning executive incentives with long-term company performance and retention.

Negatives

• Disposition of 1,224 shares of common stock to cover statutory tax obligations, which is a standard practice but reduces direct ownership.

Future Outlook

Restricted Stock Units (RSUs) typically vest 25% per year over a four-year period from their grant date. Performance Stock Units (PSUs) granted on February 28, 2023, vested on February 28, 2026, subject to continuous service. New RSUs granted on February 26, 2026, will also vest 25% annually over a four-year period.

Industry Context

StockSavvy.ai notes that routine insider transactions like these, involving equity compensation vesting and tax-related sales, are common in the medical device and surgical robotics industry, reflecting standard executive compensation practices tied to company performance and long-term retention.

Stakeholder Impact

• Shareholders: Minor, routine dilution from RSU/PSU vesting, offset by executive incentive alignment.
• Employees (specifically the reporting person): Increased personal equity stake and compensation.

Next Steps

• Future vesting of remaining Restricted Stock Units from various grant dates.
• Future vesting of newly granted Restricted Stock Units (25% annually over four years from 02/26/2026).

Key Dates

Recommendation

This Form 4 filing details routine executive compensation events (vesting and tax-related sales) and does not provide new material information about the company's operational performance or strategic direction that would warrant a change in investment recommendation. It primarily confirms the ongoing alignment of executive incentives with shareholder value through equity awards.

Keywords

Intuitive Surgical, ISRG, Form 4, Insider Transaction, Stock Transaction, RSU Vesting, PSU Vesting, Executive Compensation, Henry L. Charlton, Equity Compensation