Why Nvidia Employees Are Millionaires

An internal survey conducted at Nvidia revealed a level of employee wealth almost unheard of even in Silicon Valley. Roughly 78 percent of the company's workforce are millionaires, about half hold a net worth exceeding 25 million dollars, and 1 in 3 employees is worth more than 20 million dollars, according to reporting from The Kobeissi Letter, Yahoo Finance, and Fortune. The survey polled around 3 thousand employees, which is roughly 10 percent of Nvidia's workforce of 36 thousand to 42 thousand people. The main driver behind these numbers is Nvidia's Employee Stock Purchase Plan, one of the most generous in the industry. It allows employees to buy Nvidia shares at a 15 percent discount, with a 24 month lookback provision that lets them pay the lower of two prices during the offering period, and then take the discount off of that. Layered on top of that mechanism is Nvidia's extraordinary stock performance. Shares are up more than 4 thousand percent since the start of 2019, powered by the surge in artificial intelligence demand. In one widely cited example first reported by Barron's, a single mid level Nvidia employee who maxed out the plan for 18 years and never sold reportedly retired with a stake worth about 62 million dollars. Nvidia's turnover rate is around 3.7 percent, which arguably makes a lot more sense once you see the wealth numbers. Image Via Shutterstock: [jamesonwu1972](https://www.shutterstock.com/g/jamesonwu1972) $NVDA #NVIDIA #AI #Wealth 🌐 Find more market-moving insights at https://www.benzinga.com — your one-stop destination for the latest financial news, data, and expert analysis to stay ahead of the markets. 🖥️ Want the same tools the pros use—without the $10K Bloomberg terminal? Benzinga Edge gives you real-time portfolio alerts, weekly stock picks, and pro-grade research in one command center. 👉 https://bit.ly/4unSKiB ------------------------------------------------------------------------------------ 📲 Follow us on socials @benzinga 🔔 Subscribe To The Channel: https://www.youtube.com/@Benzinga ------------------------------------------------------------------------------------ ⚠️ Disclaimer: Investing in financial markets carries risk, and there are no guaranteed returns. All information is for educational purposes only and should not be taken as financial advice. Always do your own research and speak with a qualified financial advisor before making investment decisions. Only invest what you can afford to lose. Past performance does not guarantee future outcomes.