Latest news with #GOOGL
Yahoo
5 hours ago
- Business
- Yahoo
Alphabet Tops Expectations on Cloud, Search Growth, Boosts Capital Spending Plan
Google parent Alphabet (GOOGL) reported second-quarter revenue and profit that beat analysts' expectations, driven by rising cloud and search sales, and lifted its outlook for capital spending this year. The tech titan's revenue grew 14% year-over-year to $96.43 billion, above the Visible Alpha analyst consensus, from $84.74 billion. Net income rose to $28.2 billion, or $2.31 per share, from $23.62 billion, or $1.89 per share, a year earlier. Google Cloud revenue jumped 32% to $13.62 billion, while its Search and Other revenue grew 12% to $54.19 billion. Both landed above Wall Street estimates. "AI is positively impacting every part of the business, driving strong momentum," CEO Sundar Pichai said in a press release. On the company's earnings call, he pointed to features like AI Mode, which launched in May and has reached 100 million monthly active users in the U.S. and India. The company is making "robust" progress" on agentic AI, which is designed to handle complex tasks assigned by users, sometimes with little human interaction required, he said. CFO Anat Ashkenazi said Alphabet expects to invest $85 billion in capital expenditures this year, up from $75 billion, 'given the strong demand for our cloud products.' The increase 'reflects additional investment in servers, the timing of delivery of servers and an acceleration in the pace of data center construction,' Ashkenazi said on the conference call. Alphabet's Class A shares, which at first fell in after-hours trading, were recently up 2%. The stock was up about 1% for 2025 through Wednesday's close after finishing the day little changed. Read Investopedia's full coverage of today's trading here. The results helped jump-start the second-quarter Big Tech earnings season, with Tesla (TSLA) also reporting its numbers after Wednesday's closing bell. The EV maker's earnings and revenue missed Wall Street's expectations. This article has been updated since it was first published to include fresh share-price information and add context and commentary from the conference call. Read the original article on Investopedia Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Wall Street Journal
9 hours ago
- Business
- Wall Street Journal
Google Revenue Surges on AI Boom, Driven By Cloud Unit
Google's parent company reported a 14% jump in year-over-year revenue, driven by growth in its cloud division that was tempered by heavy spending on artificial intelligence. The parent company, Alphabet GOOGL -0.58%decrease; red down pointing triangle, recorded total revenue of $96.4 billion in the second quarter, which grew at a faster rate than the first quarter's 12%.
CNBC
14 hours ago
- Business
- CNBC
An options trade on Alphabet that bets on more upside going forward
My bullish thesis on Alphabet from last month has delivered a 122% return in just one month. Given the positive momentum, strong fundamentals and leadership in AI and cloud services, we are reiterating our bullish stance with an updated options trade. Trade timing The timing setup remains favorable, with GOOGL recently breaking out above a major resistance level at $180. Coupled with outperformance of the S & P 500 suggests potential further upside to our $202 target, which would fill the gap from February this year. Fundamentals GOOGL continues to offer substantial upside, supported by compelling valuation and superior profitability: Forward PE ratio: 19.3x vs. Industry Average 19.5x Expected EPS growth: 13% vs. Industry Average 12% Expected revenue growth: 11% vs. Industry Average 12% Net margins: 31% vs. Industry Average 6% Bullish Thesis Continued market leadership: Alphabet remains dominant across search, advertising, and cloud services, consistently driving revenue growth and strong financial performance. Innovation and AI: Google's continued investments and success with Gemini AI, now reaching over 1.5 billion monthly active users, and the robust growth of Google Cloud underscore strong future revenue potential. Shareholder returns: A recently executed $70 billion stock repurchase plan and a dividend increase reflect management's confidence and commitment to shareholder value. Updated Options Trade To capitalize on further upside, I'm initiating a new trade by selling an Aug. 29, $190/$180 put vertical for a credit of $3.80: Sell Aug. 29, $190 put @ $7.70 Buy Aug. 29, $180 put @ $3.90 Maximum reward: $380 per contract if GOOGL remains above $190 at expiration. Maximum risk: $620 per contract if GOOGL falls below $180 at expiration. Breakeven point: $186.20 View this Trade with Updated Prices at OptionsPlay This updated trade strategy leverages Alphabet's ongoing technical strength, compelling valuation, and leadership in strategic growth areas like AI and cloud services. With a defined risk and favorable probability of profit, this put vertical spread offers continued bullish exposure to Alphabet's upward potential DISCLOSURES: None. All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL'S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer.
Business Insider
20 hours ago
- Business
- Business Insider
‘Don't Be Late to the Party,' Top Analysts Hike Alphabet Stock's (GOOGL) Target Just Before Q2 Results
Alphabet (GOOGL) is receiving analyst attention ahead of its Q2 earnings, due on Wednesday, July 23. Two of the Top analysts raised the price target on GOOGL stock, citing strong near-term fundamentals and AI revenue growth potential. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Currently, Wall Street analysts expect Alphabet to report earnings per share (EPS) of $2.18 for the second quarter, above the $1.89 posted in the same period last year. Also, revenue is projected to grow by almost 11% year-over-year to $93.97 billion. Kelley Calls GOOGL Stock 'Controversial' Mark Kelley of Stifel raised his price target to $218 from $200, while maintaining a Buy rating. The five-star analyst sees strong performance in Alphabet's core businesses, particularly Search, where AI Overviews are driving better monetization despite weaker click volumes. YouTube estimates also appear solid. He expects Alphabet to post solid Q2 results. Still, he cautioned that any post-earnings rally may be short-lived given concerns about Alphabet's AI strategy and ongoing DOJ lawsuits. Also, he called the stock 'controversial.' Shmulik Sees Near-Term Strength for Alphabet Meanwhile, Bernstein's Mark Shmulik bumped his target to $195 from $185 and reiterated a Hold rating on GOOGL stock. Shmulik praised Alphabet's Q1 performance, noting 10% year-over-year growth in Search and YouTube. He pointed to strong growth in Search and YouTube from Q1 and expects similar trends to continue, supported by improved user engagement and rising Google app downloads. Shmulik also sees potential upside from the Gemini AI subscription price hike, which could boost Cloud revenue. Despite the positive setup, he remains cautious beyond the near term due to legal challenges and intense competition in digital advertising and AI. What Is the Target Price for Google Stock? On TipRanks, GOOGL stock has received a Strong Buy consensus rating, with 30 Buys and nine Holds assigned in the last three months. The average Google stock price target is $206.51, suggesting a potential upside of 7.93% from the current level.
Business Insider
21 hours ago
- Business
- Business Insider
Alphabet Stock (GOOGL) Jumps on Early Google Pixel 10 Reveal
Alphabet (GOOGL) stock was up on Tuesday after subsidiary Google revealed its upcoming Pixel 10 smartphone early. A new video on the Google Store revealed the appearance of the Pixel 10 well before its official launch on Aug. 20, 2025. Google likely revealed the design of the new smartphone early to cut off leakers, who have posted quite a bit of information about the device. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. However, the reveal of the Pixel 10 isn't as surprising as some might think. That's because this new smartphone largely follows the same design as its predecessor. Even the most diehard Pixel fans may have trouble telling the difference between the Pixel 9 and the Pixel 10. To be fair, not every new smartphone release needs a design overhaul. Sticking with a form factor that users know could make them more comfortable with upgrading to the Pixel 10. Additionally, there are sure to be internal changes that are more important to consumers than the outside appearance of the new device. Alphabet Stock Movement Today GOOGL stock jumped 0.34% on Tuesday, keeping the stock up 0.83% year-to-date and 4.57% over the past 12 months. Investors will also note that Alphabet is about to release its Q2 2025 earnings report. That will come out after markets close on Wednesday. Wall Street expects the tech giant to report adjusted EPS of $2.18 and revenue of $93.96 billion, compared to Q2 2024's EPS of $1.89 and revenue of $84.64 billion. Is Alphabet Stock a Buy, Sell, or Hold? Turning to Wall Street, the analysts' consensus rating for Alphabet is Strong Buy, based on 30 Buy and nine Hold ratings over the past three months. With that comes an average GOOGL stock price target of $205.71, representing a potential 8.59% upside for the shares.
