v3.25.4
Stock-based Compensation and Other Stock Plans (Tables)
12 Months Ended
Jan. 03, 2026
Share-Based Payment Arrangement [Abstract]  
Schedule of Weighted-Average Assumptions of Fair Value Granted Using Black-Scholes Valuation Model, Stock Options
The following weighted-average assumptions were used in calculating the fair value of stock options granted during 2025, 2024 and 2023, using the Black-Scholes valuation model: 
202520242023
Expected term of stock option (in years)
4.574.904.89
Expected volatility factor23.86%23.63%23.99%
Expected dividend yield2.52%2.76%2.60%
Risk-free interest rate4.36%4.30%3.99%
Schedule of Stock Option Activity
A summary of stock option activity during 2025 is presented below: 
Shares (in thousands)
Exercise
 Price per 
Share*
Remaining Contractual   
Term*
(in years)
Aggregate
Intrinsic
Value
(in millions)
Outstanding at beginning of year1,670 $190.73 
Granted202 339.73 
Exercised(326)168.20 
Forfeited or expired(18)282.28 
Outstanding at end of year1,528 214.14 5.1$209.0 
Exercisable at end of year1,126 183.37 4.0188.8 
* Weighted-average
Schedule of Changes in Non-Vested PSUs
Changes to the company’s non-vested PSUs in 2025 are as follows:
Shares
(in thousands)
Fair Value
Price per
Share*
Non-vested PSUs at beginning of year113 $257.95 
Granted41 339.73 
Performance assumption change**(35)254.88 
Vested(38)249.26 
Cancellations and other(1)278.22 
Non-vested PSUs at end of year80 305.17 
* Weighted-average
** Reflects the number of PSUs adjusted based on performance metrics.
Schedule of Changes in Nonvested RSUs Activity
Changes to the company’s non-vested RSUs in 2025 are as follows:
Shares
(in thousands)
Fair Value
Price per
Share*
Non-vested RSUs at beginning of year70 $242.63 
Granted18 339.73 
Vested(24)213.17 
Cancellations and other(1)280.38 
Non-vested RSUs at end of year63 282.28 
* Weighted-average
Schedule of Weighted-Average Assumptions of Fair Value Granted Using Black-Scholes Valuation Model, SAR's
The following weighted-average assumptions were used in calculating the fair value of stock-settled SARs granted during 2025, 2024 and 2023, using the Black-Scholes valuation model:
202520242023
Expected term of stock-settled SARs (in years)
4.114.204.08
Expected volatility factor23.79%23.80%24.68%
Expected dividend yield2.52%2.77%2.60%
Risk-free interest rate4.39%4.22%3.87%
The following weighted-average assumptions were used in calculating the fair value of cash-settled SARs granted during 2025, 2024 and 2023, using the Black-Scholes valuation model:
202520242023
Expected term of cash-settled SARs (in years)
3.343.373.30
Expected volatility factor23.21%24.25%22.51%
Expected dividend yield2.78%2.49%2.58%
Risk-free interest rate3.55%4.36%4.01%
Schedule of Changes in SARs
Changes to the company’s stock-settled SARs in 2025 are as follows:
Stock-settled
SARs (in thousands)
Exercise
 Price per 
Share*
Remaining Contractual   
Term*
(in years)
Aggregate
Intrinsic
Value
(in millions)
Outstanding at beginning of year311 $207.64 
Granted60 339.73 
Exercised(23)173.83 
Forfeited or expired(39)225.62 
Outstanding at end of year309 233.57 6.1$36.2 
Exercisable at end of year198 195.78 4.830.8 
* Weighted-average
Changes to the company’s non-vested cash-settled SARs in 2025 are as follows:
Cash-settled
SARs
(in thousands)
Fair Value
 Price per 
Share*
Non-vested cash-settled SARs at beginning of year$108.41 
Granted61.68 
Vested(1)111.55 
Non-vested cash-settled SARs at end of year79.24 
* Weighted-average