Form 4: NetApp CFO Wissam Jabre Granted Over 21,000 Restricted Stock Units

NetApp, Inc.'s Executive Vice President and Chief Financial Officer, Wissam G. Jabre, was granted 21,696 restricted stock units, vesting over approximately three years.

Summary

• Wissam G. Jabre, the Executive Vice President and Chief Financial Officer of NetApp, Inc. (NTAP), was granted 21,696 restricted stock units (RSUs).
• The grant date for these restricted stock units was July 1, 2025.
• Restricted stock units convert into common stock on a one-for-one basis.
• The vesting schedule dictates that 25% of the shares will vest on May 15, 2026, with the remaining 1/16th (6.25%) of the shares vesting quarterly thereafter for the next three years.
• Vesting is contingent upon Wissam G. Jabre's continued service to the company on each applicable vesting date.

Sentiment

Score: 7

Explanation: The document reports a standard executive compensation event (RSU grant) which is generally positive for aligning management incentives with shareholder interests, but it does not contain new financial performance data or strategic announcements that would significantly alter the company's outlook.

Positives

• The grant of 21,696 restricted stock units to the EVP, CFO, aligns management's long-term interests with shareholder value creation.
• The multi-year vesting schedule encourages the retention and sustained performance of a key executive.

Future Outlook

The grant of restricted stock units to a key executive like the CFO indicates a commitment to long-term executive retention and performance alignment, suggesting a stable leadership outlook for NetApp.

Management Comments

• Restricted stock units convert into common stock on a one-for-one basis.
• On July 1, 2025, the reporting person was granted 21,696 restricted stock units.
• Restricted stock unit awards shall vest as to twenty-five percent (25%) of the shares May 15, 2026 and 1/16th (6.25%) of the shares quarterly thereafter for the next three years, subject to continued service on each applicable vesting date.

Industry Context

This type of executive compensation, particularly through restricted stock units with multi-year vesting, is a standard practice across the technology and enterprise software industry. It aims to align executive incentives with long-term shareholder value creation and retain key talent in a competitive market.

Comparison to Industry Standards

• The grant of restricted stock units (RSUs) to a Chief Financial Officer is a common compensation practice in the technology sector, comparable to companies like Oracle, IBM, or Microsoft, which frequently use equity awards to incentivize and retain senior executives.
• The vesting schedule, with an initial cliff vesting followed by quarterly installments over three years, is typical for RSU grants in large public technology companies, ensuring long-term commitment from the executive.
• The one-for-one conversion of RSUs to common stock is standard for such equity awards.

Stakeholder Impact

• Shareholders: The RSU grant aligns the CFO's interests with shareholder value creation and may lead to minor dilution upon vesting.
• Management: Strengthens retention and incentivizes long-term performance of the CFO.

Next Steps

• Continued service by Wissam G. Jabre to ensure vesting of restricted stock units.
• Future vesting events for the granted restricted stock units on May 15, 2026, and quarterly thereafter for three years.

Key Dates

Recommendation

Keywords

NetApp, NTAP, Restricted Stock Units, RSU, Insider Transaction, Form 4, Executive Compensation, Wissam Jabre, CFO