Form 4: Texas Instruments Director Curtis C. Farmer Reports Stock Unit Acquisition

Director Curtis C. Farmer reports acquisition of stock units convertible to common stock in Texas Instruments under the 2018 Director Compensation Plan.

Summary

• On June 21, 2024, Curtis C. Farmer, a director of Texas Instruments Inc. (TXN), acquired stock units that convert to common stock on a one-for-one basis.
• The acquisition was made under the Texas Instruments 2018 Director Compensation Plan.
• The price of the derivative security was $192.76.
• A total of 142.66 stock units were acquired.
• Following the transaction, Mr. Farmer beneficially owns 830.02 derivative securities.
• Mr. Farmer also directly owns 1,772 shares of Texas Instruments common stock.

Sentiment

Score: 6

Explanation: The sentiment is neutral as it reports a standard transaction related to director compensation. It doesn't inherently indicate positive or negative performance for the company.

Positives

• The acquisition of stock units by a director may signal confidence in the company's future performance.

Future Outlook

The stock units will be settled in common stock following the reporting person's termination of service as a director of the Issuer.

Industry Context

Director compensation plans are common in publicly traded companies to align the interests of directors with those of shareholders. Stock unit grants are a typical component of such plans.

Comparison to Industry Standards

• Texas Instruments' director compensation plan, which includes stock units, is consistent with industry practices among large publicly traded companies.
• Companies like Intel (INTC) and Qualcomm (QCOM) also utilize stock-based compensation for their directors to incentivize long-term value creation.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders by aligning director interests with long-term company performance.

Key Dates