What Is The Median Pay Of 'Magnificent Seven' Companies?
The Magnificent Seven are lifting the stock market to new highs, led by Nvidia, Microsoft, Apple, and Alphabet in particular.
In May alone, these tech giants added $1.4 trillion in market capitalization to the S&P 500 - surpassing the combined gains of 296 other stocks during the same period. Notably, Nvidia contributed to more than half of this rise. As tech stocks boom, many are offering robust salaries with substantial stock option plans.
This graphic, via Visual Capitalist's Niccolo Conte, shows the median pay of the Magnificent Seven companies in 2023, based on analysis from The Wall Street Journal and MyLogIQ.
The Highest Paying Companies in the Magnificent Seven
Below, we show the median employee pay of the Magnificent Seven companies in 2023:
Data for Microsoft is from SEC filings. Total CEO pay includes equity awards and cash pay.
Meta ranks as the highest overall, with a median pay of $379,050, which is more than six times the national median salary.
Not only is it the leading company in the Magnificent Seven, it has one of the highest median pay across S&P 500 companies. Between 2022 and 2023, employee pay increased 28%, following four rounds of layoffs that slashed thousands of employees in its “year of efficiency”.
Following Meta is Google’s parent company, Alphabet, with a median pay of $315,531. The company operates a hybrid work policy, requiring employees to be in the office about three days a week. This mirrors a trend seen across Amazon and Salesforce to encourage in-person collaboration.
At Nvidia, employees received a median pay of $266,939, fueled by its soaring share price. Last year, over $300 million in value was delivered to its staff under its employee stock purchase plan. Along with a competitive pay package, the company offers an unlimited vacation policy along with 22-weeks of paid parental leave.
Falling near the bottom of the pack is Tesla, where the median salary for employees is $45,811. The automotive sector is notorious for steep wage gaps between CEOs and workers, with CEOs often earning 300 times more than the median employee.
In 2023, Tesla CEO Elon Musk earned no compensation, and is instead paid through incentive-based stock options. Recently, a judge invalidated a staggering $56 billion pay package for the executive, deeming it unfair to the company’s shareholders. This pay package was awarded in 2018, with stipulations that Tesla meet certain performance requirements over a 10-year timeframe.