Form 4: Super Micro Computer Director, Tally C Liu, Reports Stock and Options Grants

Director Tally C Liu reported the acquisition of restricted stock units and stock options in Super Micro Computer, Inc.

Summary

• On August 9, 2024, Tally C Liu, a director of Super Micro Computer, Inc. (SMCI), reported transactions related to the company's stock.
• Liu acquired 158 restricted stock units (RSUs) and 515 stock options.
• The RSUs vest fully on June 30, 2025, with pro-rata vesting based on service from July 1, 2024, to the last day of service.
• Vested RSUs are settled in shares of SMCI common stock.
• The stock options, with an exercise price of $508.76, also vest fully on June 30, 2025, with pro-rata vesting based on service from July 1, 2024, to the last day of service, and expire on August 9, 2029.
• Following these transactions, Liu directly owns 28,286 shares of SMCI common stock, 158 RSUs, and 515 stock options.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. It reflects standard compensation practices and aligns director interests with shareholders. There are no indications of negative events or concerns.

Positives

• The grant of RSUs and stock options to a director aligns their interests with those of the shareholders.
• The vesting schedule incentivizes continued service and commitment to the company.

Future Outlook

The document does not contain specific forward-looking statements, but the vesting schedule of the RSUs and stock options suggests an expectation of continued service from the director.

Industry Context

This filing is a routine disclosure of equity grants to a company director, which is a common practice in publicly traded companies to incentivize and retain key personnel. It reflects standard compensation practices within the technology industry.

Comparison to Industry Standards

• Equity compensation is a standard practice among technology companies like Super Micro Computer.
• Companies such as NVIDIA, AMD, and Intel also utilize stock options and restricted stock units as part of their compensation packages for directors and executives.
• The vesting schedules and terms of these grants are generally in line with industry norms, designed to align the interests of management with those of shareholders over a multi-year period.

Stakeholder Impact

• The grant of equity to a director can positively impact shareholders by aligning management's interests with long-term company performance.
• Employees may view this as a positive sign of the company's commitment to its leadership.

Key Dates