NVIDIA, CEO Jensen Huang's bonus target set at $4 million

NVIDIA, the world’s most valuable company, has set its CEO Jensen Huang’s bonus target for this fiscal year at $4 million. This decision is related to NVIDIA’s future business strategy amid rapid growth in the global semiconductor market.

On the 6th, NVIDIA announced that Jensen Huang’s cash compensation target for fiscal year 2027 is set at $4 million, equivalent to 200% of his base salary. During this process, his base salary increased by 50% to $1.5 million after ten years in the previous fiscal year, and has now increased by approximately 33% to $2 million for this fiscal year. Analysts believe this reflects a trend of management compensation adjustments amid sharp revenue growth.

Other NVIDIA executives also saw significant changes in their compensation. Including CFO Colette Kress, four executives have their compensation targets set at 150% of their base salaries, i.e., $1.5 million. Based on NVIDIA’s revenue achievement, they can earn up to twice their target, demonstrating a performance-driven management style.

These compensation plans were approved by NVIDIA’s Compensation Committee earlier this month and can be interpreted as part of the company’s strategy to achieve overall goals and motivate the executive team to maintain high performance. Jensen Huang’s total compensation for fiscal year 2025, including stock awards, reached $49.9 million, driven by rising stock prices and increased enterprise value.

Looking ahead, NVIDIA is expected to continue playing a key role in the global semiconductor market, and such executive compensation policies seem to further strengthen its performance-oriented management philosophy linked to revenue and profit growth. This high-level compensation system is likely to become an important factor in enhancing competitiveness within the industry.