Apple CEO Tim Cook makes a cool $24 million in serendipitous stock sale
The remainder of Apple CEO Tim Cook's Restricted Stock Units couldn't have vested at a better time, with 108,136 shares sold just before tariffs were announced.
Apple's stock is on the way down after the tariff announcement
It's not hard to figure out when Apple CEO Tim Cook is about to make a bunch of money, as his Restricted Stock Units (RSUs) sales take place at the same time every year. He made $16 million selling stocks in April 2024 and $50 million later that October.
Wednesday's sale was shared via an SEC filing, which shows 108,136 shares were sold. That netted Cook $24 million just as President Donald Trump stepped out on stage to announce tariffs.
Of course, it wasn't planned this way. The early 2024 sale took place on April 5, a Friday, and could have just as easily taken place later in the week.
According to MacRumors, the RSUs sale was the last of three that was from a time-based stock award granted in 2020. Apple awarded the RSUs to Cook as a part of his compensation and as an encouragement to remain as CEO.
Lucky chance
The announced tariffs have already had a profound effect on the market futures. Apple has plummeted more than 5% in the time since the announcement, which is about $170 billion.
Cook, looking at the stock price after hours. Image source: Apple
Unless something changes before the stocks close Thursday, it could be a bad time for Apple and the rest of the US stock market. Beyond the market's initial reactions, the biggest concern will be over how they affect prices of goods like Apple's iPhone.
A 10% flat rate tariff is being applied to every imported good, then additional tariffs are being imposed on select countries. A 34% tariff on goods from China, a 46% tariff on goods from Vietnam, and a 32% tariff on goods from Taiwan will have significant impacts on Apple's products.
It isn't clear how any company will handle the tariffs, but the most likely result is passing the cost to consumers. Economists were predicting up to $6 trillion in costs to Americans, but that's when the expected tariffs were much lower.
Nothing has been said yet of possible exemptions from Trump's tariffs. Apple, Google, Meta, and others have attempted to curry some favor from the President and his administration, which may yield some result.
However, Trump is unpredictable and could ask these American companies to bear the weight of this "transition." Ultimately, Trump hopes these tariffs will force companies to source parts, materials, and labor from the United States.
Regardless, Cook's twice-annual RSUs sale managed to hit at the exact right hour to give him a few more million in the bank. Cook is a known philanthropist that invests his funds and donates to charity, and the $24 million he earned today went to his trust.
Read on AppleInsider
Comments
Publicly traded companies aren't going to the absorb the charge and give up gross margin.
This should be perfectly clear to anyone who has any money in the stock market. And that includes any American with a retirement account or pension plan. That includes anyone who voted for the person currently occupying the Oval Office.
This is not a complicated scenario. It's very simple.
Computer scientists have an acronym for this: GIGO. Garbage In, Garbage Out.
Tomorrow Americans of all political leanings will experience this truth.
I'm sure Cook was smart enough to see this transaction result in cash. I liquidated half of my bull positions two days ago. I will get slaughtered tomorrow but not as much as if I had stayed in this clown show. But it's not all gloom-and-doom for me. I bought some 3x tech inverse funds in a tax-free retirement account. Gonna ease the pain a bit tomorrow.
But god damn, it is going to be a sh!t storm that we never saw during the previous administration.
April 2, 2025 happy (Liberation) Federal sales tax day American citizens.