Lobo Kevin 4

What Happened

• Kevin Lobo, Chair and CEO of Stryker Corporation, exercised stock options and converted derivatives into common shares. He exercised options for 206,955 shares at an exercise price of $96.64 per share (total exercise cost $20,000,131) and the resulting shares were converted into common stock.
• To cover the tax liability (and related withholding), 132,410 shares were disposed/withheld at a value of $362.42 per share (total value ~$47,988,032). Separately, a grant/award of 58,206 derivative shares was recorded on Feb 4, 2026 (no cash amount shown). The filing indicates a net issuance/conversion and routine tax withholding rather than an open-market sale.

Key Details

• Transaction dates: Feb 4, 2026 (grant/award of 58,206 derivative shares); Feb 6, 2026 (option exercise and related conversions/withholding).
• Exercise: 206,955 shares @ $96.64 = $20,000,131 (code M: option exercise/conversion).
• Tax withholding/settlement: 132,410 shares withheld/disposed @ $362.42 = $47,988,032 (code F: payment of tax liability via share withholding).
• Other: 206,955 derivative shares were converted to common stock (reported as disposed at $0 in the derivative section to reflect conversion), and 58,206 derivative shares were reported as granted (code A).
• Footnotes: F1 notes 2,782 shares from Stryker’s ESPP included as of 12/31/2025; F2 notes the option is from the 2011 LTIP and vests 20% per year over five years.
• Shares owned after transaction: not specified in the public summary of this filing.
• Filing timeliness: Report filed Feb 6, 2026 for a Feb 4, 2026 report date — appears timely (Form 4 is generally due within two business days).

Context

• This was an option exercise with shares withheld to satisfy tax obligations (a common, routine practice often called a cashless or net exercise). The withholding is not an open-market sale for investment purposes but to cover taxes and/or exercise costs.
• Grants and option exercises are standard elements of executive compensation and don’t by themselves indicate CEO sentiment about the stock.