Microsoft executives reportedly tells employees to improve stock performance in the wake of raises. With that being said, you also should know that Chris Capossela just recently cashed in $4.4 million worth of Microsoft stock.
Microsoft Executives Improve Stock Performance
Microsoft’s chief marketing officer has got a new solution for employees that are frustrated with the decision of the company to do away with raises thus making the stock price go up.
As per a report from Fortune on Wednesday, CMO Chris Capossela in a message to employees wrote that “the most important lever for almost all our employees’ compensation upside is the stock price.” Capossela however cashed out $1.55 million worth of Microsoft stock in the early parts of this month and then sold yet another $2.85 million in the previous week.
Capossela’s Message to Employees
“So great quarterly results contribute to making the stock attractive which in turn drives everyone’s total compensation up,” Capossela in a message viewed by Fortune tells employees. “We are still investing heavily in our people as well as in our data center capacity to hopefully position us well for the Al transformation.”
And even as Microsoft continues to pour more money into artificial intelligence as well as its $68.7 billion acquisition of Activision Blizzard, CEO Satya Nadella has told workers in the previous week that it will not offer raises for salaried employees this year, thus citing “macroeconomic uncertainties.” The CEO also stated that he, along with the other members of the senior leadership team, will not be getting raises or performance-based bonuses, either. Microsoft also announced major layoffs affecting 10,000 employees in the early parts of this year.
What Microsoft Has To Say About the Development
A Microsoft spokesperson in a statement to Fortune, stated that Capossela’s “sale is part of Chris’ personal planning and does not reflect any change in his dedication to the success of the company.” Microsoft did not immediately respond to The Verge’s request for a comment on the matter.
Why Did Microsoft’s Stock Increase
The shares of Microsoft were trading sharply higher in premarket trading on Wednesday after the firm posted better-than-expected results for its latest quarter recently.
Is Microsoft A Buy Sell or Hold
This is one very important question to ask if you are pondering on whether to invest in the company’s stock. Well, the answer to your question is ‘buy.’ The analyst rating consensus of Microsoft is a very strong buy. This is however based on the ratings of 34 Wall Street analysts.
How High Can Microsoft Stock Go
Well, if you are going by the historic growth of the company in calculating long-term profits, the stock price of Microsoft could well increase to $1,813 by 2040, thus gaining 529%. The average yearly return of 10.7% of Microsoft interestingly comes way close to the long-term average of the S7P 500 index which as you should know has on average gained +11.8% every year since 1957.
MORE RELATED POSTS
- Peloton Scrubs Viral Ads Starring Chris Noth for Sexual Assault Allegation
- Disney World Reportedly Raises Prices For Tickets
- Federal Reserve Raises Interest Yet Again
- How do you Deactivate Facebook Account: How do i Temporarily Deactivate my Facebook Account
- Substacks Co-Founder Says the Platform Does Not Condone Bigotry