As Microsoft’s stock price increases, Satya Nadella receives a 66% raise


17, 2019

Microsoft’s stock price reached a record high after raising its dividends and authorising plans to buy back $40 billion of its own stock.  This limits the amount of available stock on the market, which in turn increases the earnings per share. Now worth over $1 trillion, this has been a fruitful year for Microsoft, financially.

Since Nadella’s base salary only accounts for $2.3 million out of the $42.9 million, stock awards comprised a large percentage of the total compensation.

As a result, in the company’s latest fiscal year ending on June 30th; Microsoft CEO Satya Nadella was awarded a 66% raise, with $42.9 million in total compensation.  The previous year, the total compensation came to $25.8 million, making it a $17.1 million increase.

Satya Nadella is credited for navigating Microsoft through and increasingly complex technology and political landscape, maintaining a low profile while politicians increasingly turn on technology companies, maintaining a focus on productivity and companies rather than consumers, and backing projects which soften the image of the company, such as their Xbox Adaptive Controller and affordable housing in Seattle.

At the same time, Nadella appears to have decided to invest more in their Surface hardware brand, an unusual decision for a high-margin cloud and software company, and has decided to re-enter the fading smartphone market. It remains to be seen if Satya can maintain the confidence of the stock market over the next year and satisfy demands for ever-increasing returns.

Do our readers think Satya deserves his raise? Let us know below.

Source: CNN

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