‹ BackHN Continuity

Thread

MongoDB CEO resigns to join Meta

366 points · 306 comments · diek

  1. bko · · focus · HN ↗
    CEO leaves, stock market value drops ~$6.5B

    One interpretation is that senior leadership (e.g. CEO) matters a lot. But it flies against the idea that CEOs are overpaid. From a quick search, it looks like his total stock comp was ~$52m which was a bargain considering his departure cost the company billions. Perhaps he would not have left if he had a higher pay, more in line with the value the market ascribes to him.

    However I imagine those that are upset about CEO pay will find this unconvincing. Is there any other way to interpret this?

    1. Dylan16807 · · focus · HN ↗
      > However I imagine those that are upset about CEO pay will find this unconvincing. Is there any other way to interpret this?

      I would argue that at most he's a signal about company value that people reacted to. Maybe the company lost 6 billion dollars in underlying value, but it wasn't from the CEO change itself.

Open on Hacker News to reply ↗

Unofficial Hacker News client; not affiliated with Y Combinator.