Form 4: Microsoft Director Teri List Reports Stock Transactions

Microsoft director Teri List reported the acquisition of restricted stock units and the disposal of common stock.

Summary

• Teri List, a director at Microsoft, filed a Form 4 disclosing changes in beneficial ownership of company stock.
• The filing indicates that on December 12, 2024, Ms. List acquired 42,013 restricted stock units (RSUs).
• These RSUs represent a contingent right to receive one share of Microsoft common stock each.
• The RSUs are fully vested, but the shares will be delivered 30 days after Ms. List's separation from the Board of Directors.
• Ms. List also disposed of 132 shares of common stock and holds 2,132 shares indirectly through a trust.
• Dividend equivalent rights accrue on the RSUs and become exercisable when the RSUs vest.

Sentiment

Score: 6

Explanation: The sentiment is neutral to slightly positive. The acquisition of RSUs is a positive sign of alignment, while the disposal of a small number of shares is not significant enough to be negative.

Positives

• The acquisition of 42,013 restricted stock units indicates continued alignment of interests between the director and the company's performance.

Negatives

• The disposal of 132 shares of common stock could be seen as a minor negative signal, although it is a small amount compared to the total holdings.

Risks

• The timing of the delivery of shares from the RSUs is contingent on Ms. List's separation from the Board, which introduces some uncertainty.

Future Outlook

The delivery of shares from the restricted stock units is contingent on the director's separation from the Board of Directors, which will occur at an unspecified future date.

Industry Context

This filing is a routine disclosure of stock transactions by a company director, which is common practice for publicly traded companies like Microsoft. It provides transparency into the holdings and transactions of key personnel.

Comparison to Industry Standards

• Form 4 filings are standard practice for directors and officers of publicly traded companies in the US, such as Apple (AAPL), Amazon (AMZN), and Google (GOOGL).
• The reporting of restricted stock unit grants and stock disposals is consistent with typical executive compensation practices in the tech industry.
• The timing of share delivery after separation from the board is a common vesting condition.

Stakeholder Impact

• The stock transactions are unlikely to have a significant impact on shareholders, employees, customers, or suppliers.

Next Steps

• The shares from the restricted stock units will be delivered 30 days after Ms. List's separation from the Board of Directors.

Key Dates

Keywords

Microsoft, Teri List, Form 4, Restricted Stock Units, Stock Transactions, Director, Beneficial Ownership