New Alphabet Inc. (NASDAQ:GOOG) chief executive set to make millions as founders step down
Earlier this month, Google’s two co-founders Larry Page and Sergey Brin, announced they were stepping down from their positions of control at Alphabet (Google’s parent company).
We already knew that Google’s existing chief executive, Sundar Pichai, would be taking over from Page and Brin. What we didn’t know how much he would be getting paid.
Now we do. And predictably, it’s a massive number. Pichai is set to earn US$240 million (about NZ $360m) in stock awards over the next three years if he hits all of his performance-related targets. That’s on top of his US$2m annual salary.
Wait. There’s more. If Alphabet outperforms the S&P 100 Index, Pichai could receive an additional US$90m in Alphabet stock.
Pichai, who grew up in India and first joined Google in 2004, made his mark at the company after working on some of the company’s most successful non-search products, including Gmail, Chrome and Android.
However, Pichai was kept out of the limelight until 2015, when co-founders Larry Page and Sergey Brin created parent company Alphabet and put Pichai in charge of Google services — the money-making wing of the company.
Pichai has received several big-value stock grants over the past decade. His first big payment came in 2014 when he received a US$240m stock grant. This was followed up by a brace of US$300m stock grants in the following years.
The news that the new chief executive could make a quarter of a billion US dollars over the next three years will do little to cool the tensions regarding how Google and Alphabet pays its contractors.
Currently, Google is dealing with several high-profile worker-related issues. Earlier this year, it was revealed Google had more temporary workers than full-time employees — 121,000 temps and contractors and 102,000 full-timers. While most sit in the same offices as Google employees and often do similar work, they usually make less money, have significantly worse benefit plans and don’t have the same rights as a full-time employee.
There was also a global walkout of tens of thousands of Google employees. The walkout was protesting the handling of sexual misconduct at the company after it was revealed the sexual misconduct allegations against Google’s Android software creator, Andy Rubin, who left the company with a US$90m severance package.
The pressure will no doubt be on the new, high-earning, boss to fix these ugly issues.
Overall, the bias in prices is: Upwards.
By the way, prices are vulnerable to a correction towards 1,293.81.
The projected upper bound is: 1,394.53.
The projected lower bound is: 1,330.96.
The projected closing price is: 1,362.75.
A big white candle occurred. This is generally considered bullish, as prices closed significantly higher than they opened. If the candle appears when prices are “low,” it may be the first sign of a bottom. If it occurs when prices are rebounding off of a support area (e.g., a moving average, trendline, or retracement level), the long white candle adds credibility to the support. Similarly, if the candle appears during a breakout above a resistance area, the long white candle adds credibility to the breakout.
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 27 white candles and 23 black candles for a net of 4 white candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 34.4295. This is not an overbought or oversold reading. The last signal was a buy 0 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 65.24. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 6 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 68. This is not a topping or bottoming area. The last signal was a sell 6 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 3 period(s) ago.
Rex Takasugi – TD Profile
ALPHABET INC C closed up 16.840 at 1,360.400. Volume was 48% below average (neutral) and Bollinger Bands were 2% wider than normal.
Open High Low Close Volume___
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 1,352.54 1,306.18 1,206.53
Volatility: 11 16 29
Volume: 1,442,702 1,313,303 1,409,649
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
ALPHABET INC C is currently 12.8% above its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of GOOG.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on GOOG.O and have had this outlook for the last 13 periods.