Form 4: Teledyne Executive Chairman Awarded 8,897 RSUs

Teledyne Technologies Inc. Executive Chairman Robert Mehrabian received 8,897 Restricted Stock Units, including a special one-time award, vesting in 2028.

Summary

• Robert Mehrabian, Executive Chairman and Director of Teledyne Technologies Inc. (TDY), was awarded 8,897 Restricted Stock Units (RSUs).
• This includes 2,690 RSUs granted under the 2026-2028 Performance-Based Restricted Unit Award Program.
• An additional 6,207 RSUs were granted as a special one-time award, which has the same terms as the 2026-2028 Performance-Based Restricted Unit Award Program.
• The RSUs were awarded on January 20, 2026, and are scheduled to vest on January 20, 2028.
• The price used to calculate the number of Restricted Stock Units awarded was $531.67 per unit.
• Vested shares will be delivered to Mr. Mehrabian following the vesting date.

Sentiment

Score: 7

Explanation: The award of performance-based restricted stock units to a key executive is generally a positive signal, aligning management incentives with long-term company performance and shareholder value. It reflects continued commitment and confidence in the executive's role.

Positives

• The award of performance-based restricted stock units aligns management's incentives with long-term shareholder value creation.
• A special one-time RSU award indicates continued confidence in the executive's leadership and contributions to the company.

Negatives

• No explicit negatives are present in this Form 4 filing, which primarily reports a compensation event.

Risks

• The value of the awarded RSUs is subject to the future performance of Teledyne Technologies Inc.'s common stock, posing market risk to the recipient.
• The performance-based nature of some RSUs means the actual number of shares received depends on achieving specific company performance targets, which may not be met.

Future Outlook

The Restricted Stock Units are performance-based and vest in 2028, indicating a long-term incentive structure designed to align executive compensation with future company performance over a multi-year period.

Industry Context

Equity awards like Restricted Stock Units are a common form of executive compensation across various industries, particularly in technology and industrial sectors, used to align executive interests with long-term shareholder value creation and retention.

Comparison to Industry Standards

• The use of performance-based Restricted Stock Units is a standard practice in executive compensation across many publicly traded companies, including peers in the aerospace, defense, and industrial technology sectors.
• The vesting period of two years (2026-2028) for these awards is within typical industry ranges for long-term incentive plans, which often span 2-5 years.
• The specific value of the award (approximately $4.73 million at the time of grant based on the calculation price) would need to be benchmarked against compensation packages for executive chairmen at companies of similar market capitalization and industry to determine if it is above, below, or in line with industry standards. Without specific peer compensation data, a direct comparison is limited.

Related Party Transactions

• The award of Restricted Stock Units to an Executive Chairman is a transaction between the company and a related party (an executive officer and director).

Stakeholder Impact

• **Shareholders**: The performance-based nature of the awards aims to align executive incentives with shareholder returns, potentially benefiting long-term share price performance if targets are met. Dilution from the eventual conversion of RSUs to common stock is a minor consideration.
• **Employees**: May signal stability in executive leadership and a commitment to long-term strategic goals.

Next Steps

• Vesting of the Restricted Stock Units on January 20, 2028, contingent on performance criteria for the performance-based units.
• Delivery of vested shares to Robert Mehrabian following the vesting date.

Key Dates

Recommendation

This Form 4 filing reports a routine executive compensation event involving the grant of Restricted Stock Units. While it aligns executive incentives with long-term performance, it does not provide new fundamental information about the company's operational or financial performance that would warrant a change in investment recommendation. Investors should continue to hold based on broader company fundamentals and market conditions.

Keywords

Teledyne Technologies, TDY, Robert Mehrabian, Restricted Stock Units, RSU, Executive Compensation, Form 4, Insider Transaction, Performance-Based Award, Equity Award