Apple CEO receives major stock grant, first since 2011

Apple CEO Tim Cook on Tuesday received his first largest stock grant since 2011. The company will compensate him with large portions of stock till 2025, according to an SEC filing.

The tech giant CEO will receive 333,987 units of restricted stock that will vest in thirds annually beginning 2023. Also, Cook will vest 333,987 units of stock in another package by 2023. If he successfully meets targets with relation to Apple’s performance in the stock market, the units could double. That means Cook will take home 1,001,196 shares of Apple by 2025. On the other hand, if the company underperforms and fails to meet expectations, Cook will get nothing of the package.

Apple’s board of directors, in a Tuesday statement, said Cook has “brought unparalleled innovation” in his time as CEO of Apple. The board also commended him for demonstrating true leadership with “values and integrity.” As a result the company is awarding Cook with a major stock grant for the first time in nearly a decade “in recognition of his outstanding leadership and with great optimism for Apple’s future as he carries these efforts forward.”

At Tuesday’s closing price, $114.09, the total number of Cook’s shares were worth $114 million. The amount is bound to rise or fall depending on Apple’s stock price.

Although Cook receives a regular salary and annual bonuses, the shares are his primary compensation for his time so far at Apple. In 2019, Cook earned a total of $125 million— $3 million in salary, $7.67 million in bonus, and shares.

His last grant in 2011—which expires next year—ended up increasing in value from its $384 million worth at the time. The worth significantly increased as Apple’s stock price increased over the years. Since 2011—when Cook became Apple’s CEO—his last compensation has hit over $963.5 million, according to estimates from Equilar.

In 2015, the CEO said he plans to donate part of his wealth to charity.