Western Digital CPO has 5,150 shares withheld for taxes
Western Digital’s chief product officer reported RSU-related stock conversions and tax withholding transactions, with no open-market buying or selling.
Rhea-AI Filing Summary
WESTERN DIGITAL CORP (WDC) reported Form 4 transactions by Chief Product Officer Ahmed Mohammed on September 17, 2026 involving dividend equivalent rights and common stock tied to previously awarded restricted stock units (RSUs).
He received a grant of 42.1952 dividend equivalent rights that each represent a contingent right to one share of common stock or its cash value. On the same date, 56.5237 dividend equivalent rights were converted into and paid in the form of 56 shares of common stock, with a small cash payment for the fractional right. In connection with vesting, 5,150 shares of common stock were withheld at $423.87 per share to pay a tax obligation. No Rule 10b5-1 trading plan is reported.
Positive
- None.
Negative
- None.
Insider Trade Summary
56.5237 shares exercised/converted
Exercise
4 txns
Insider
Shihab Ahmed Mohammed
Role
Chief Product Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Grant/Award | Dividend Equivalent Rights F3 | 42.1952 | $0.00 | $0.00 |
| Exercise | Dividend Equivalent Rights F1 | 56.5237 | $0.00 | $0.00 |
| Exercise | Common Stock F1 | 56 | $0.00 | $0.00 |
| Tax Withholding | Common Stock F2 | 5,150 | $423.87 | $2.18M |
Holdings After Transaction:
Dividend Equivalent Rights — 396.6332 contracts (Direct);
Common Stock — 158,608 shares (Direct)
Footnotes (3)
- F1. The dividend equivalent rights were converted into, and paid in the form of, shares of the Issuer's common stock on a one-for-one basis in connection with the vesting of restricted stock units to which the dividend equivalent rights relate. A cash amount was also paid to the holder to settle a fractional dividend equivalent right.
- F2. Payment of tax obligation by withholding securities incident to the vesting of securities in accordance with Rule 16b-3(e).
- F3. The dividend equivalent rights accrued on previously awarded restricted stock units (RSUs) which vest proportionately with the RSUs to which they relate. Each dividend equivalent right represents a contingent right to receive one share of the Issuer's common stock or the cash value thereof.
Key Figures
Dividend equivalent rights granted: 42.1952 rights
Dividend equivalent rights converted: 56.5237 rights
Common shares issued from conversion: 56 shares
+3 more
6 metrics
Dividend equivalent rights granted
42.1952 rights
Grant of dividend equivalent rights on September 17, 2026
Dividend equivalent rights converted
56.5237 rights
Converted into and paid as common stock on September 17, 2026
Common shares issued from conversion
56 shares
Shares of Western Digital common stock received from conversion of dividend equivalent rights
Shares withheld for taxes
5,150 shares
Common stock withheld to pay tax obligation upon vesting under Rule 16b-3(e)
Withholding price per share
$423.87 per share
Value used for withholding 5,150 shares to satisfy tax obligations
Transactions involving derivative securities
2 transactions
Dividend equivalent right grant and conversion reported as derivative transactions
Key Terms
Dividend Equivalent Rights, restricted stock units, Rule 16b-3(e), contingent right
4 terms
Dividend Equivalent Rights financial
"The dividend equivalent rights accrued on previously awarded restricted stock units (RSUs)"
Dividend equivalent rights are promises that mirror the cash payments shareholders get from a company’s profits, but they are paid to holders of certain awards (like stock options or restricted stock units) rather than to actual shares. Think of them as a paycheck top‑up that matches dividends while the award is not yet a real stock, and they matter to investors because they add to employee compensation costs and potential share dilution, affecting company profitability and per‑share value.
restricted stock units financial
"The dividend equivalent rights accrued on previously awarded restricted stock units (RSUs)"
Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.
Rule 16b-3(e) regulatory
"Payment of tax obligation by withholding securities incident to the vesting of securities in accordance with Rule 16b-3(e)"
contingent right financial
"Each dividend equivalent right represents a contingent right to receive one share"
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What did WDC’s Chief Product Officer report in this Form 4?
The Chief Product Officer reported RSU-related activity: a grant of 42.1952 dividend equivalent rights, conversion of 56.5237 dividend equivalent rights into 56 shares of common stock, and withholding of 5,150 shares to satisfy tax obligations.
What are the dividend equivalent rights reported for WDC?
The dividend equivalent rights accrued on previously awarded RSUs and vest proportionately with them. Each right represents a contingent right to receive one share of Western Digital common stock or its cash value.
Was a Rule 10b5-1 trading plan used for these WDC transactions?
No. The document-level checkbox indicates no Rule 10b5-1 plan is affirmed, and the footnotes do not describe any pre-arranged trading plan for these transactions.
Who is the insider involved in this Western Digital (WDC) Form 4?
The reporting person is Ahmed Mohammed, who serves as Chief Product Officer of Western Digital Corp. He reported the RSU-related dividend equivalent rights and associated common stock and tax-withholding transactions.
AI-generated analysis. How Rhea-AI works. Not financial advice.
