Microsoft CEO Satya Nadella sells more than half his shares in tech giant worth more $285M

Microsoft chairman and CEO Satya Nadella has sold 840,000 shares – more than half his stock in the tech giant – for just over $285million. 

Nadella, 54, still owns more than 830,000 shares that are worth an estimated $280million after the November 22 sale, CNN Business reported.  

The CEO reportedly sold his stock ‘for personal financial planning and diversification reasons’ after Microsoft’s stellar performance on the stock market over the past twelve months.  

‘He is committed to the continued success of the company and his holdings significantly exceed the holding requirements set by the Microsoft Board of Directors,’ a Microsoft spokesperson said.

Chairman and CEO of Microsoft, Satya Nadella, 54, sold more than half his stock in Microsoft on November 22, totally a $285million payout for the tech giant.  Nadella sold almost 840,000 shares after his holding ‘significantly’ exceeded the ‘holding requirements set by the Microsoft Board of Directors.’ He still holds 830,000 shares, which totals roughly $280million 

Microsoft’s stock soared more than 50 per cent this year, with only Home Depot doing better on the Dow. 

Like many companies, the demand for remote work led to an increase in the company’s revenue, with Microsoft reporting that its Azure cloud services grew 50 per cent in the first fiscal quarter.   

Microsoft Cloud generated $20.7billion in sales, which was up 36 per cent from the previous year, the Wall Street Journal reported in October. It was the first time the company breached the $20billion quarterly sales mark. 

Since Nadella has taken over as CEO in 2014, the company’s shares have boosted approximately 780 per cent, according to the Wall Street Journal

Earlier this month, Microsoft came head-to-head with rival company Apple as it hit $2.5trillion in market capitalization. Apple is worth around the same. 

Microsoft, Apple, Google, Amazon, and Tesla hold the top five positions, making up $10trillion of the $41.8trillion market cap of the S&P 500, which tracks 500 large companies in the US. 

Microsoft stock is down today, but overall the stock has soared more than 50 per cent this year, with only Home Depot doing better on the Dow 

The company is now worth almost $2.5trillion in market capitalization (lower middle) and is even with rival Apple, which is also worth the same

The company is now worth almost $2.5trillion in market capitalization (lower middle) and is even with rival Apple, which is also worth the same 

Microsoft has generated significant revenue since the start of the pandemic, increasing its profits through Azure and other cloud services as many companies moved to remote work

Microsoft has generated significant revenue since the start of the pandemic, increasing its profits through Azure and other cloud services as many companies moved to remote work 

Nadella started at the company in 1992 and since he took over as CEO position in 2014, the company has seen strong sales figures and earnings. 

Nadella and his team accelerated the company’s growth during the pandemic by focusing on facilitating tools to improve remote work and expanding the cloud network – the fastest growing pocket of the tech industry. 

The company also saw an increase in sales in its licensing for Windows, which grew 10 per cent, and it’s social media networking site LinkedIn grew 42 per cent in the quarter as unemployment numbers soared. 

The man who made Microsoft to a $2trillion company 

Satya Nadella, 54, started at Microsoft in 1992 and has since moved up to CEO in 2014 and became a chairman in June 2021. 

Originally from Hyderabad, India, Nadella now lives in Bellevue, Washington with his wife and three children. 

Besides being a chairman and CEO for Microsoft, Nadella also sits on the board of directors for Starbucks and the board of trustees to Fred Hutchinson Cancer Research Center and the University of Chicago. 

Recently, Nadella was Executive VP of Microsoft’s Cloud and Enterprise group, which transformed cloud infrastructure and services business. 

This move took away shares from rival companies and outperformed the market. 

Since taking over as CEO, Microsoft’s shares have boosted 780 per cent.  

Source: Microsoft, WSJ 

Between Microsoft and LinkedIn, which Microsoft bought in 2016, the tech firm made an annual revenue of $10billion for the first time, the Wall Street Journal reported. 

Since the pandemic, LinkedIn has seen an increase in membership, with nearly 800million users worldwide as of October. 

‘We saw record engagement as [people] increasingly turn to LinkedIn to connect, learn, grow and get hired,’ Nadella said at the press conference in October. 

The company also makes a pretty penny off its core feature Office 365, which includes Word, Excel, PowerPoint, and other software services used by businesses, schools, and personal consumer use. It also owns the X-Box gaming system, which saw a decline in revenue due to the supply chain crisis, the Wall Street Journal reported.  

Analysts at the Wall Street Journal also suggested Nadella could have sold his stock his home state of Washington implements a seven per cent tax for long-term capital gains starting in 2022. It would affect anything exceeding $250,000.  

Nadella became a chairman for the company on a seven-year tenure this year, and is the first person to hold both the CEO and Chairman titles since founder Bill Gates stepped down as CEO in 2000. 

The CEO and Chairman also reportedly earned a $2.5million salary this fiscal year. He also has an annual compensation package, which includes stock awards and cash incentives that reportedly reach around $50million, the Wall Street Journal reported. 

Nadella also earned more than $40million during the past two fiscal years.  


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