Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Tables)

3 Months Ended

Jan. 30, 2022

Equity [Abstract]

Components of accumulated other comprehensive loss, after-tax basis

Changes in the components of accumulated other comprehensive income (AOCI), net of tax, were as follows:

 

	Unrealized Gain (Loss) on Investments, Net		Unrealized Gain (Loss) on Derivative Instruments Qualifying as Cash Flow Hedges		Defined and Postretirement Benefit Plans		Cumulative Translation Adjustments		Total
	(in millions)
Balance as of October 31, 2021	$	(1)	$	(103)	$	(169)	$	13	$	(260)
Other comprehensive income (loss) before reclassifications	(12)		4		—		—		(8)
Amounts reclassified out of AOCI	(3)		(7)		—		—		(10)
Other comprehensive income (loss), net of tax	(15)		(3)		—		—		(18)
Balance as of January 30, 2022	$	(16)	$	(106)	$	(169)	$	13	$	(278)

	Unrealized Gain (Loss) on Investments, Net		Unrealized Gain (Loss) on Derivative Instruments Qualifying as Cash Flow Hedges		Defined and Postretirement Benefit Plans		Cumulative Translation Adjustments		Total
	(in millions)
Balance as of October 25, 2020	$	20	$	(133)	$	(199)	$	13	$	(299)
Other comprehensive income (loss) before reclassifications	(1)		1		—		—		—
Amounts reclassified out of AOCI	(1)		3		—		—		2
Other comprehensive income (loss), net of tax	(2)		4		—		—		2
Balance as of January 31, 2021	$	18	$	(129)	$	(199)	$	13	$	(297)

Summary of stock repurchases

The following table summarizes Applied’s stock repurchases for the three months ended January 30, 2022 and January 31, 2021:

	Three Months Ended
	January 30, 2022		January 31, 2021
	(in millions, except per share amount)
Shares of common stock repurchased	12		none
Cost of stock repurchased	$	1,803	$	—
Average price paid per share	$	145.85	$	—

Effect of share-based compensation on the results of operations

The effect of share-based compensation on the results of operations was as follows: 

	Three Months Ended
	January 30, 2022		January 31, 2021
	(In millions)
Cost of products sold	$	42	$	36
Research, development and engineering	43		40
Marketing and selling	14		13
General and administrative	19		18
Total share-based compensation	$	118	$	107

Restricted stock units and restricted stock activity

A summary of the changes in any restricted stock units, restricted stock, performance share units and performance units outstanding under Applied’s equity compensation plans during the three months ended January 30, 2022 is presented below:

	Shares	Weighted Average Grant Date Fair Value
	(In millions, except per share amounts)
Outstanding as of October 31, 2021	13	$	63.29
Granted	3	$	146.70
Vested	(5)	$	52.28
Canceled	—	$	68.98
Outstanding as of January 30, 2022	11	$	90.08