Submitted by giteam t3_11lsrt1 in dataisbeautiful
proactiveplatypus t1_jbgkequ wrote
Reply to comment by magnora7 in [OC] NVIDIA's FY22 income statement by giteam
It’s not going straight into the pocket of Jensen Huang.
The net profit would be paid out either by investing in the company (ie, hiring more or retaining existing talent), paying down debt, or paying dividends to the shareholders.
Nvidia pays a pretty paltry dividend, but those fixed salary employees you mentioned also receive stock as compensation, so they would see some of that profit.
silenceisbetter1 t1_jbhr3jj wrote
Not only that, Executive pay especially in tech has increased every year for a decade on the % of compensation given in equity
There is some merit in my opinion to be willing as the CEO to bet your own earnings on the company and your ability to lead it, and then they profit when their employees do too because as you mentioned equity is almost a given in tech
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