Form 4: Marie Myers Receives Deferred Stock Units in Qualcomm Director Compensation Plan

Director Marie Myers received 677 deferred stock units from Qualcomm under the 2024 Director Compensation Plan.

Summary

• Marie Myers, a director of Qualcomm, received 677 deferred stock units on October 8, 2024, as part of the Qualcomm Incorporated 2024 Director Compensation Plan.
• These deferred stock units are fully vested upon grant.
• The units will be settled in shares of Qualcomm's common stock, with a potential partial cash settlement option, on the earlier of March 5, 2027, death, disability, or a change in control.
• If a partial cash settlement is elected, it will be reported on a subsequent Form 4 as a disposition to the issuer.

Sentiment

Score: 7

Explanation: The document reflects a routine director compensation matter, which is generally viewed neutrally. The grant of stock units can be seen as a positive sign of aligning director interests with shareholder value.

Positives

• The grant of deferred stock units aligns the director's interests with the long-term performance of Qualcomm.
• The vesting of the units upon grant provides immediate value to the director.

Future Outlook

The deferred stock units will be settled in shares of Qualcomm's common stock (and partially in cash if election is made within 60 days of the date of grant) in accordance with the grant agreement on the earlier of (1) March 5, 2027 (2) death, (3) disability, or (4) a change in control.

Industry Context

Director compensation packages often include stock-based awards to align the interests of directors with those of shareholders. Deferred stock units are a common component of these packages.

Comparison to Industry Standards

• Director compensation packages vary across the semiconductor industry, but equity-based compensation is a common practice.
• Companies like Intel, NVIDIA, and AMD also utilize stock options, restricted stock units, and deferred stock units in their director compensation plans.
• The specific number of units granted and the vesting schedule are tailored to each company's individual circumstances and compensation philosophy.

Stakeholder Impact

• The grant of deferred stock units aligns the director's interests with those of shareholders, potentially leading to better corporate governance and decision-making.
• The compensation plan has no immediate impact on employees, customers, suppliers, or creditors.

Next Steps

• Potential partial cash settlement to be reported on a subsequent Form 4 if elected.
• Settlement of the deferred stock units on the earlier of March 5, 2027, death, disability, or a change in control.

Key Dates