This week Apple CEO Tim Cook was given a whopping 560,000 in Apple Stock, which he promptly yeeted from his portfolio.
Tim Cook Sells Apple Stock
The plethora of shares are part of Cook’s annual haul, which is based on time served and overall performance. According to Apple Insider, Cook received 280,00 restricted stock units (RSU) for his time in the driver’s seat and another 280,000 RSU for Apple being one of the top S&P 500 companies between August 2017 and August 2020.
At the beginning of the allotted time period Apple stock was sitting at $US157.56 and it ended at $464.63.
But not all of his awarded stock went into his holdings. After Apple’s statutory tax withholding, which gobbled up 294,840 shares, Cook was left with 265,160 vested units.
Cook then sold them off in multiple trades across during the week. The shares were sold between $US493.50 to $US500.11 per unit. That works out to be roughly $686.27 and $695.34, respectively.
The trades earned Cook over $185 million, adding to his net worth which surpassed one billion U.S. dollars several weeks back.
Stock given to charity
This news comes less than a week after Cook donated 10,715 of company-owned Apple stock to an undisclosed charity. At close of trade the stock was worth almost $7 million.
This isn’t the first time that Apple stock has been given away to charities. Cook made similar moves in 2015 and 2018 — once again the beneficiaries were not named.
Apple Stock split
Cook has also sold this vast sum of stock mere days before Apple conducts its first stock split in six years. The split will take place on August 28 (August 29 in Australia) and the shares will begin trading on the stock market on August 31 (September 1 in Australia).
The 4-for-1 split will mean that shareholders will own four Apple stock for every one they currently own. But this doesn’t mean their holdings will quadruple in value.
“If you paid $400 per share for your Apple stock, your tax basis will be $100 per share after the split,” Motley Fool explains.
“If you then sell it for $125 per share, you’ll have a $25 per share gain — not bad based on the $400 you paid for pre-split shares.”