With the Apple CEO Tim Cook nearing the milestone of leading the company for a decade now, he has also attainted another milestone of his on – he has now become a billionaire.
With the jump in share price of Apple last week, the estimated net worth of Cook, as calculated by the Bloomberg Billionaires index — also leaped. Apple is no close to the $2 trillion mark in market capitalization.
Currently, the market capitalization of Apple is at about $1.9 trillion and so far this year, the stock price of the company has risen by nearly 54 per cent to touch almost $451 each. According to data provider Refinitiv, that was better than the broader market and the S&P 500 tech sector.
A large number of billionaires have been produced by the tech world which includes the likes of Amazon founder Jeff Bezos, the richest man in the world, and Facebook co-founder Mark Zuckerberg, both of whom have been reported to have a net worth of $100 billion or more according to Bloomberg.
However, the case is a bit different for Cook since he is not the founder of Apple. Another example is Google CEO Sundar Pichai who is not among the richest in the Silicon Valley. In contrast, Larry Page and Sergey Brin, the co-founders of Google who quit active executive role in the company in 2019 are worth about $71.7 billion and $69.5 billion, respectively.
According to Bloomberg Billionaires, Cook currently only directly owns “about 0.02% of Apple shares, worth around $375 million” despite being the top executive at Apple. The calculation by Bloomberg was based on its projection of the CEO’s net worth on an analysis of the company’s regulatory filings.
But sizable stock awards and other forms of compensation have been given by the company to Cook over the years which add to his estimated wealth.
According to a proxy filing made by Apple, Cook’s annual base salary was $3 million as of last year. He is also on the board of directors at Nike.
Last month, for the quarter ended June, Apple reported blockbuster earnings as revenue and profits both far exceeded estimates of analysts. A four-for-one stock split, that could make the shares even more attractive to investors, was also announced by the company.
After having joined Apple in 1998, Cook s appointed in a number of senior positions in the company prior to becoming the head of the company. The notable role among them was that of the chief operating officer and executive vice president of worldwide sales and operations of the company. He was appointed as CEO of the company in 2011 after the position was left by Apple co-founder Steve Jobs. Jobs died weeks later from complications of pancreatic cancer.
Cook worked at Compaq and IBM prior to joining Apple,
In 2014, Cook made history for becoming the first Fortune 500 CEO to come out as gay. The following year, he pledged to donate most of his wealth to charity.
(Adapted from CNN.com)