Western Digital (NASDAQ: WDC) legal chief sells shares, 1,488 withheld for taxes
Rhea-AI Filing Summary
WESTERN DIGITAL CORP (WDC) insider Cynthia L. Tregillis, Chief Legal Officer & Corp Sec, reported multiple equity transactions. On August 21 and 24, 2026 she sold 235 and 684 shares of common stock at $477.27 and $446.17 per share, respectively, with both sales effected pursuant to a Rule 10b5-1 trading plan adopted on March 6, 2026. Around August 20–21, dividend equivalent rights related to restricted stock units were converted into common shares on a one-for-one basis, and a total of 1,488 shares was withheld at prices of $469.05 and $459.44 per share to satisfy tax obligations under Rule 16b-3(e).
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Insights
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Insider Trade Summary 10b5-1
Exercise and sale activity reported; no spread calculated
Exercise and Sale
8 txns
Insider
Tregillis Cynthia L
Role
Chief Legal Officer & Corp Sec
Sold
919 shs ($417K)
Approx. gross sale proceeds
$417K
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Common Stock F3 | 684 | $446.17 | $305K |
| Exercise | Dividend Equivalent Rights F1 | 11.1826 | $0.00 | $0.00 |
| Sale | Common Stock F3 | 235 | $477.27 | $112K |
| Exercise | Common Stock F1 | 11 | $0.00 | $0.00 |
| Tax Withholding | Common Stock F2 | 1,109 | $459.44 | $510K |
| Exercise | Dividend Equivalent Rights F1 | 3.8337 | $0.00 | $0.00 |
| Exercise | Common Stock F1 | 3 | $0.00 | $0.00 |
| Tax Withholding | Common Stock F2 | 379 | $469.05 | $178K |
Holdings After Transaction:
Dividend Equivalent Rights — 294.7877 shares (Direct);
Common Stock — 112,146 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 sales reported in this Form 4 were effected pursuant to a Rule 10b5-1 trading plan adopted by the Reporting Person on March 6, 2026.
Key Figures
Common stock sold: 235 shares
Sale price per share: $477.27
Common stock sold: 684 shares
+5 more
8 metrics
Common stock sold
235 shares
Sale of Western Digital common stock on August 21, 2026
Sale price per share
$477.27
Sale of 235 shares of common stock on August 21, 2026
Common stock sold
684 shares
Sale of Western Digital common stock on August 24, 2026
Sale price per share
$446.17
Sale of 684 shares of common stock on August 24, 2026
Shares withheld for taxes
1,109 shares
Tax withholding at $459.44 per share incident to vesting
Shares withheld for taxes
379 shares
Tax withholding at $469.05 per share incident to vesting
Dividend Equivalent Rights converted
11.1826 rights
Converted into common stock on a one-for-one basis on August 21, 2026
Dividend Equivalent Rights converted
3.8337 rights
Converted into common stock on a one-for-one basis on August 20, 2026
Key Terms
Rule 10b5-1 trading plan, Dividend Equivalent Rights, restricted stock units, Rule 16b-3(e)
4 terms
Rule 10b5-1 trading plan regulatory
"The sales reported in this Form 4 were effected pursuant to a Rule 10b5-1 trading plan"
A Rule 10b5-1 trading plan is a pre-arranged schedule that allows company insiders to buy or sell stock at specific times, even if they have inside information. It helps prevent accusations of unfair trading by making these transactions look planned and transparent, rather than sneaky or illegal.
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 equivalent rights relate"
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
Were the WDC insider sales made under a Rule 10b5-1 trading plan?
Yes. A footnote states that the sales reported were effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on March 6, 2026, indicating the trades were pre-arranged under that plan.
What are the Dividend Equivalent Rights mentioned in the WDC Form 4?
The filing describes Dividend Equivalent Rights that were converted into, and paid in the form of, shares of Western Digital common stock on a one-for-one basis in connection with the vesting of the related restricted stock units. A fractional right was settled in cash.
AI-generated analysis. How Rhea-AI works. Not financial advice.
