Form 4: Intuitive Surgical Executive's Equity Transactions

An Intuitive Surgical executive reported the vesting and acquisition of restricted stock units and performance stock units, alongside related tax withholdings.

Summary

• Iman Jeddi, SVP & GM da Vinci Platforms & at Intuitive Surgical Inc. (ISRG), reported multiple equity transactions on February 26, 2026.
• Acquired 1,622 shares of Common Stock upon the vesting and conversion of Restricted Stock Units (RSUs) from a February 26, 2024 grant, with a deemed exercise price of $0.0.
• Disposed of 631 shares of Common Stock at a price of $506.17 to cover statutory tax withholding requirements related to the RSU vesting.
• Acquired 687 shares of Common Stock upon the vesting and conversion of RSUs from a February 26, 2025 grant, with a deemed exercise price of $0.0.
• Disposed of 341 shares of Common Stock at a price of $506.17 to cover statutory tax withholding requirements related to the RSU vesting.
• Acquired 2,793 Performance Stock Units (PSUs) from a February 28, 2023 grant, with performance criteria achieved, vesting on February 28, 2026.
• Acquired 4,480 Restricted Stock Units (RSUs) from a February 26, 2026 grant.
• Following these transactions, Jeddi Iman directly owns 1,922 shares of Common Stock and indirectly owns 26,649 shares through a Trust.
• Beneficially owns 8,378 Performance Stock Units (PSUs), 3,243 Restricted Stock Units (RSUs) from the 2024 grant, 2,059 RSUs from the 2025 grant, and 4,480 RSUs from the 2026 grant.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this as a neutral event, reflecting routine executive compensation activities and the scheduled vesting of equity awards, with no new material information impacting the company's fundamentals.

Positives

• Achievement of performance criteria for 2,793 Performance Stock Units (PSUs) granted on February 28, 2023, leading to their vesting.
• Vesting of 1,622 Restricted Stock Units (RSUs) from a February 26, 2024 grant and 687 RSUs from a February 26, 2025 grant, converting into common stock.
• Grant of 4,480 new Restricted Stock Units (RSUs) on February 26, 2026, indicating continued long-term incentive for the executive.

Negatives

• Disposal of 631 shares and 341 shares of Common Stock, totaling 972 shares, at a price of $506.17 per share to cover statutory tax withholding requirements.

Future Outlook

Remaining Restricted Stock Units (RSUs) from the February 26, 2024, February 26, 2025, and February 26, 2026 grants will continue to vest 25% annually over a four-year period from their respective grant dates, subject to continuous service.

Industry Context

StockSavvy.ai notes that these transactions are routine disclosures of executive compensation and equity vesting events, common across publicly traded companies, particularly in the medical device and technology sectors. They reflect the standard operation of long-term incentive plans designed to align executive interests with shareholder value.

Stakeholder Impact

• Shareholders: Minimal direct impact as these are routine compensation events. The vesting and new grants align executive incentives with long-term company performance.
• Employees: No direct impact on general employees.
• Management: The executive, Iman Jeddi, has increased direct and indirect beneficial ownership of company stock and derivative securities, reinforcing alignment with company performance.

Next Steps

• Future tranches of Restricted Stock Units (RSUs) from the February 26, 2024, February 26, 2025, and February 26, 2026 grants will vest annually.

Key Dates

Recommendation

This Form 4 filing details routine executive compensation events, including the vesting of stock units and associated tax withholdings. It does not contain new material information regarding the company's operational performance, strategic direction, or financial health that would warrant a change in investment recommendation. Therefore, a seasoned investor would likely maintain their current position.

Keywords

Intuitive Surgical, ISRG, Form 4, insider transaction, executive compensation, stock units, RSU, PSU, equity award, vesting, tax withholding