Alphabet’s board approved a performance-based compensation plan for CEO Sundar Pichai worth up to $692 million on March 8. The plan directly ties his equity payouts to the GOOGL stock price, the potential for a Waymo IPO, and the company’s stock forecast over three years. This alignment with shareholder returns is drawing fresh analyst attention to Alphabet’s stock upside potential.
Alphabet Inc’s board approved a CEO compensation plan for Sundar Pichai worth up to $692 million. The performance-based plan was disclosed to the SEC on March 8.
The package directly ties Pichai’s pay to the GOOGL stock price, Waymo IPO potential, and the broader Alphabet stock forecast. The board stated “Further incentivizing Mr. Pichai is in the best interests of Alphabet and its stockholders.”
Pichai’s base salary remains $2 million annually. Up to $252 million is linked to outperforming the S&P 100, with another $350 million tied to Waymo and Wing performance.
The board described the units as “Tackling enormous challenges in autonomous driving and delivery.” Waymo has completed over 20 million autonomous trips. Its latest funding round valued the company at $126 billion.
Up to $260 million of Pichai’s compensation depends on Waymo’s per-unit valuation growth. This is seen as a signal a public offering is being considered.
Analyst Daniel Sparks sees GOOGL potentially reaching around $600 within five years. This forecast hinges on AI investments and the scaling of Google Cloud, which saw operating income more than double year-over-year in Q4 2025 to $5.3 billion.
The GOOGL stock price was approximately $298, down about 15% from its 52-week high of $349. The company reported Q4 2025 revenue of $113.8 billion, an 18% year-over-year increase.
