Index Option Calls
  • Home
  • Latest News
  • Email Whitelisting
  • Privacy Policy
  • Home
  • Latest News
  • Email Whitelisting
  • Privacy Policy
No Result
View All Result
Index Option Calls
No Result
View All Result
Home Latest News

Never Mind Tesla CEO Elon Musk’s Stock Sales. Look What Microsoft’s CEO Just Did.

by
November 30, 2021
in Latest News
0
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter
Text size

Satya Nadella.

Manjunath Kiran/AFP via Getty Images

A lot has been made of


Tesla

CEO Elon Musk’s stock sales, but

RELATED POSTS

Used vehicle prices swing higher amid unseasonably strong demand in January

Billionaire Tesla bull Ron Baron says Musk promised him multiples on his $100 million Twitter stake


Microsoft

CEO Satya Nadella recently sold a chunk of stock that is a much larger portion of his total holdings.

Nadella sold about half his stake in Microsoft (ticker: MSFT), according to recent filings with the Securities and Exchange Commission. The CEO unloaded 838,584 shares on Nov. 22 and 23, netting him about $285 million. He has about 831,000 Microsoft shares left, worth roughly $280 million.

It isn’t clear why he sold. Microsoft didn’t immediately respond to a request for comment on the sales or to make Nadella available to discuss them. Investors are left to debate whether Nadella is diversifying his holdings, paying capital-gains taxes in 2021, ahead of potential tax increases proposed by the Biden administration, or selling for another reason.

Regardless of the reason, the sale is significant. It represents a large portion of his total pay and holdings. Nadella’s total reported compensation over the past three years amounts to about $137 million, including more than $93 million worth of stock.

Microsoft doesn’t award stock options any longer. The company has shifted to performance stock awards that are earned when certain time or performance milestones are hit.

Nadella’s base salary is $2.5 million. That’s cash.

He has been CEO since early 2014. Microsoft stock has returned about 35% a year on average since then, while the

S&P 500
and

Dow Jones Industrial Average
have returned about 16% and 14% a year on average, respectively, over the same span.

The Nadella sales take the CEO pay-and-taxation spotlight away from Musk for the moment. Musk started selling Tesla stock after asking


Twitter

(TWTR) followers if he should sell 10% of his holdings to accelerate paying taxes on unrealized capital gains. Twitter voted yes and the sales commenced.

Musk has sold about 8.6 million shares worth $9.2 billion in recent weeks. He appears to be about half way through the 10% sale his Twitter followers voted for. It’s hard to say exactly, however. Some sales have been stock received as Musk has exercised stock options, while other sales have been from his existing holdings.

Most of Musk’s pay comes in the form of management stock options. Musk, excluding his options, owns about 17% of Tesla stock. Nadella owns about 0.01% of Microsoft stock outstanding.

Microsoft shares aren’t doing much in response to the news. Shares were 0.6% lower in early trading Tuesday, while the S&P 500 and Dow were both down about 0.7%.

Write to Al Root at allen.root@dowjones.com

ShareTweetPin

Related Posts

Used vehicle prices swing higher amid unseasonably strong demand in January

by
February 7, 2023
0

A man shops for used vehicles at the Toyota of Deerfield dealership in Deerfield Beach, Florida. Getty Images DETROIT -...

Billionaire Tesla bull Ron Baron says Musk promised him multiples on his $100 million Twitter stake

by
February 7, 2023
0

In this article TSLA Follow your favorite stocksCREATE FREE ACCOUNT Billionaire Ron Baron was promised he would make "two to...

Used vehicle prices swing higher amid unseasonably high demand in January

by
February 7, 2023
0

A man shops for used vehicles at the Toyota of Deerfield dealership in Deerfield Beach, Florida. Getty Images DETROIT -...

Biden plans to go after social media and kids’ mental health in SOTU speech

by
February 7, 2023
0

U.S. President Joe Biden speaks as he attends the DNC 2023 Winter Meeting in Philadelphia, Pennsylvania, U.S., February 3, 2023....

Powell’s speech triggered record options bets, topping even the meme stock frenzy

by
February 7, 2023
0

A speculative frenzy after Fed Chairman Jerome Powell spoke last week helped drive record trading in call options Thursday, and...

Next Post

Dow drops 600 points after Powell mentions speeding up taper even amid omicron threat

Powell says Fed will discuss speeding up bond-buying taper at December meeting

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

email

Get the daily email about stock.

Please Enter Your Email Address:

By opting in you agree to our Privacy Policy. You also agree to receive emails from us and our affiliates. Remember that you can opt-out any time, we hate spam too!

MOST VIEWED

  • A Couple Stored IRA Gold at Home. They Owe the IRS More Than $300,000.

    0 shares
    Share 0 Tweet 0
  • A California Couple Spent Eight Years Building Their Dream Retirement Home in Costa Rica

    0 shares
    Share 0 Tweet 0
  • Goldman Sachs says buy these stocks to play Web 3.0 and the metaverse

    0 shares
    Share 0 Tweet 0
  • Goldman Sachs picks new stocks to buy — and says these 5 have over 100% upside

    0 shares
    Share 0 Tweet 0
  • In his final warning, this stock trading wizard — who made big money in bear markets and crashes — called this market a bubble like no other

    0 shares
    Share 0 Tweet 0
  • Home
  • Latest News
  • Email Whitelisting
  • Privacy Policy
All rights reserved by www.indexoptioncalls.com
No Result
View All Result
  • Home
  • Latest News
  • Email Whitelisting
  • Privacy Policy

All rights reserved by www.indexoptioncalls.com