Robinhood Markets, Inc. HOOD announced disappointing quarterly results last week, further lowering its battered stock. Even as the stock languishes at depressed levels, its C-suite has pocketed handsome salary packages over the past year.

What happened: Robinhood CEO Vlad Tenev won $796.12 million in total compensation in 2021, a proxy statement filed by the company late Monday showed. This was a considerable increase from the $767,923 Tenev paid in 2020.

A closer look at 2021 compensation shows $244,125 was paid in salary, $1.87 million was spent on his personal security services, and $794.01 million was awarded in stock.

Related Link: Robinhood Isn’t Going Away: Analysts Remain Optimistic Long-Term With Price Targets Lowered After Q1

SEC rules state that restricted stock units and performance stock awards must be presented as compensation for the year in which they were granted or modified.

The filing showed that the realized salary for Tenev in 2021 was $168.83 million, with the realized stock awards being $166.72 million.

For Tenev to actually receive the full compensation, Robinhood shares would need to trade at up to $300 per share over the next seven years, the company said in the filing.

Baiju Bhat, the second-in-command and co-founder, received $593.96 million in compensation in 2021, up from $895,811 in 2020. His compensation in 2021 included $244,125 in salary and $592.63 million in stock. He also received $1.08 million in personal security services.

Robinhood said in the proxy filing because of the PSU award, Tenev and Bhatt agreed to reduce their salaries to $34,248, reflecting the median salary for individuals in the United States.

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Why it matters: Robinhood, which democratized investing by pioneering commission-free trading, went public in late July 2021 offering 55 million shares at $38 apiece. Shares closed the first session at $34.82, below the bid price.

The post-IPO run took the stock to a high of $85 within a week of the debut. Since then, the stock has been falling. It ended 2021 at $17.76, down about 49% from the closing price in the first session. It has fallen further since the beginning of the year, driven by fundamental problems and macro and geopolitical factors.

“The stock is bearing the brunt of a slowdown in the stimulus-fueled retail frenzy we saw in 2021,” the Rosenblatt Securities analyst said. Sean Horgan said in a recent note reviewing the company’s quarterly results.

Price Action: Robinhood stock closed Monday’s session up 6.88% at $10.48, the shares are trading down 2.77% in Tuesday’s pre-market session at $10.19 according to Benzinga Pro.

Photo: Courtesy of robinhood.com