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Apple CEO Tim Cook Sells $131.7 Million in Apple Stock
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Probably already resoponded to a few times after this comment, but you do know that these were preplanned transactions loooooonng in advance in accordance with SEC guidelines, right? He didn’t decide to sell yesterday...
He likely sold vested shares that were granted sometime in the past, so he would have turned a profit.
With RSUs, they have a vesting period before they can be exercised.
Not always, but it sometimes is a sell signal especially if other insiders are selling. This could be a blow off top for AAPL but somehow I doubt it. The move away from Intel to another chip manufacturer, if well calculated, will grow the company massively.
These are shares which just vested, so he doesn’t need to wait any longer to dispose of them.
He’s likely using last-in, first-out for share sales rather than first-in, first-out. That would allow him to avoid greater capital gains taxes for now and perhaps, if he does end up donating a large portion of his wealth, avoid a great deal of capital gains altogether.
Right, but even a FIFO strategy means he's not taking a capital loss. Even if those RSUs have a vesting period of six months, he's still turning a gain.
It's a capital loss because the value of the shares decreased between the time they vested and the time he sold them. For tax purposes his cost basis for those shares is their value at the time they vested ($503.43 per share), not their value at the time the RSU award was granted. He owes ordinary income tax on their value when they vest (whether he sells them or not) and then from there changes in their value become capital gains or losses when he sells them.
Except he could give 500 billion bucks away and do some good...so it would change his life.
Tim has worked wonders for shareholders since he took over from Steve. Nobody who has a vested interest in APPL is going to begrudge him his payouts. Consumers should be delighted too since the company has never been in better shape, and all the products and experiences are better than ever.
In summary: everyone wins.
In summary: everyone wins.
Yeah but that 3 shares a year was more like 9 shares because we were started getting RSUs annually since like 2014/2015. So in like 2017 or 2018 I got a nice batch and 2019 as well.
That plus the ESPP... If you were at Apple for like 3-5 years+ and invested 10% every check... You’d have a lottt or money right now.
Do you have any idea how many hurdles a CEO has to go through to sell shares of a company they run? This was not a surprise to the board of directors. The board of directors have to approve something like this long before the FTC is even notified. This was at most only 10% of his apple shares. He's probably just diversifying his portfolio.
I really hope (for you) you're ironic. Otherwise you need a good psychiatrist
Yeah, I doubt he’s all that upset about it. He’s already voluntarily declined about $78 million worth of dividend equivalents which he was entitled to based on his RSU awards. He doesn’t seem like someone who’s focused on accumulating as much money as possible.