Catenaa, Saturday, March 07, 2026- Nvidia has set a target cash bonus of $4 million for CEO Jensen Huang, adopting a new variable compensation plan for fiscal 2027, according to a regulatory filing on Friday.
The plan, approved by Nvidia’s compensation committee on March 2, ties executive cash bonuses to the achievement of specific revenue goals for the fiscal year ending January 31, 2027.
Huang’s total compensation for 2025 was $49.9 million, driven largely by stock awards valued at $38.8 million, according to a regulatory filing in May last year.
The filing comes after Nvidia last month reported better-than-expected results for the January quarter and forecast current-quarter revenue above Wall Street estimates, underscoring expectations that heavy spending by Big Tech on artificial intelligence processors will continue.
The world’s most valuable company said it expects fiscal first-quarter sales of $78 billion, plus or minus 2%.
After the recent downturn, many of those tech behemoths are now trading at valuations rarely seen. Nvidia, is priced at a little more than 21 times forward earnings, which is basically the same as the S&P 500 and down from its 10-year average of 35 times.
The chipmaker’s valuation has collapsed over the past four months, and even a banner earnings report last week wasn’t enough to lift the stock out of a slump that’s left it down 13% from an October 29 peak.
