Western Digital (NASDAQ: WDC) insider has 1,309 shares withheld
Rhea-AI Filing Summary
WESTERN DIGITAL CORP (WDC) reported insider equity compensation activity by Chief Sales & Marketing Officer Brian Scott Davis. On August 20 and 21, 2026, dividend equivalent rights tied to vested restricted stock units were converted into common stock on a one-for-one basis, resulting in the delivery of a total of 9 shares of common stock to the executive, with fractional rights settled in cash. On both dates, a total of 1,309 common shares were withheld and disposed of to satisfy tax obligations, as permitted under Rule 16b-3(e). The filing indicates these are compensation- and tax-related transactions rather than open-market purchases or sales.
Positive
- None.
Negative
- None.
Insider Trade Summary
Net Seller: 1,300 shares
Net Sell
6 txns
Insider
Davis Brian Scott
Role
Chief Sales & Mrktng Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Dividend Equivalent Rights F1 | 4.7532 | $0.00 | $0.00 |
| Exercise | Common Stock F1 | 4 | $0.00 | $0.00 |
| Tax Withholding | Common Stock F2 | 593 | $459.44 | $272K |
| Exercise | Dividend Equivalent Rights F1 | 5.7366 | $0.00 | $0.00 |
| Exercise | Common Stock F1 | 5 | $0.00 | $0.00 |
| Tax Withholding | Common Stock F2 | 716 | $469.05 | $336K |
Holdings After Transaction:
Dividend Equivalent Rights — 179.6703 shares (Direct);
Common Stock — 100,303 shares (Direct)
Footnotes (2)
- 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).
Key Figures
Common shares acquired via conversion: 9 shares
Shares withheld for taxes: 1,309 shares
Tax withholding price August 20, 2026: 469.0500 per share
+3 more
6 metrics
Common shares acquired via conversion
9 shares
Shares of Western Digital common stock delivered upon conversion of dividend equivalent rights on August 20–21, 2026
Shares withheld for taxes
1,309 shares
Common shares withheld and disposed of to satisfy tax obligations related to vesting on August 20–21, 2026
Tax withholding price August 20, 2026
469.0500 per share
Per-share value used for 716 Western Digital common shares withheld for tax obligation
Tax withholding price August 21, 2026
459.4400 per share
Per-share value used for 593 Western Digital common shares withheld for tax obligation
Dividend equivalent rights converted August 20, 2026
5.7366 rights
Converted into and paid in Western Digital common stock in connection with RSU vesting
Dividend equivalent rights converted August 21, 2026
4.7532 rights
Converted into and paid in Western Digital common stock in connection with RSU vesting
Key Terms
Dividend Equivalent Rights, restricted stock units, Rule 16b-3(e)
3 terms
Dividend Equivalent Rights financial
"The dividend equivalent rights were converted into, and paid in the form of, shares"
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
"in connection with the vesting of restricted stock units to which the dividend"
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)"
FAQ
What did WDC executive Brian Scott Davis report in this Form 4?
Brian Scott Davis reported the conversion of dividend equivalent rights into 9 shares of Western Digital common stock in connection with restricted stock unit vesting, and the withholding of 1,309 shares to cover related tax obligations.
Were the WDC Form 4 transactions open-market buys or sells?
No. The Form 4 for WDC shows no open-market purchases or sales. Shares were acquired through the conversion of dividend equivalent rights, and other shares were withheld to pay taxes on vesting equity awards under Rule 16b-3(e).
What are dividend equivalent rights as used in the WDC Form 4?
In this WDC filing, dividend equivalent rights are rights tied to restricted stock units that were converted into and paid in common stock on a one-for-one basis when the underlying units vested, with any fractional right settled in cash.
Was a Rule 10b5-1 trading plan used for the WDC Form 4 transactions?
The filing’s Rule 10b5-1 checkbox is not marked as affirming a trading plan, and the footnotes describe the events as vesting- and tax-related, not as transactions executed under a pre-arranged Rule 10b5-1 plan.
AI-generated analysis. How Rhea-AI works. Not financial advice.
