Alphabet (GOOG, GOOGL) 03 (Aug 24 - Dec 27)

[winston]

not vested

4Q Results

For the fourth quarter, the company reported revenue of $113.8 billion in revenue, topping Wall Street’s expectations for $111.4 billion.

Earnings were $2.82 per share, higher than the $2.65 expected by analysts, and up from $2.15 in the previous year.

Growth was driven in large part by a 48% jump in Google Cloud revenue to $17.7 billion, which was driven in part by AI deals with Meta Platforms, Inc. (META), OpenAI (the company behind ChatGPT) and Anthropic (the company behind Claude). That was also well ahead of estimates for $16.2 billion.

Google Services – including Search and YouTube advertising – climbed 14% year over year.

Additionally, Alphabet surpassed $400 billion in annual revenue for the first time in its history. That was thanks to increasing search demand and the launch of its new Gemini 3 AI Model – which outperformed rivals like OpenAI and led to the company reportedly calling a “code red” as a result.

Yet despite these strong results, Alphabet’s shares fell as much as 5% on Thursday.

Why? Because the company is spending like a sailor in port – specifically on AI.

The bill? In the range of $175 billion to $185 billion in 2026. That’s roughly double last year’s spending, and Wall Street thought it was going to target about $120 billion in spending this year.

Judging by the market reaction, investors zeroed in on that rising spending figure, whether it’s sustainable and what it could mean for profitability in the years ahead.

Source: Market 360

[winston]

Michael Burry Compares Alphabet Issuing Century Bonds to Motorola, Suggests Greater Crisis Ahead for Alphabet

Michael Burry, the hedge fund manager and the real-life inspiration for the movie "The Big Short", responded on social media regarding Alphabet (GOOGL.US) which is seeking to issue century bonds.

The last similar event occurred in 1997, when the mobile phone manufacturer Motorola issued bonds, he said.

At that time, Motorola was among the top 25 companies in the US by market cap and revenue, with its brand ranking even ahead of Microsoft (MSFT.US) , said Burry.

Burry pointed out that in the years following the bond issuance, Motorola's status gradually subsided and was surpassed by competitors.

Today, it ranks 232nd in market cap, with annual sales of only USD11 billion.

In his post, Burry believed that the threats in face of Google's classic search technology today are real and potentially even greater than the crisis Motorola faced in the mid-1990s when hardware technology was considered a more reliable competitive advantage than software.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[behappyalways]

Google's Stake In SpaceX Could Be Worth $122 Billion At IPO
https://www.zerohedge.com/markets/googl ... illion-ipo

[behappyalways]

In Latest Shot At Nvidia, Google Unveils Two Chips For The Agentic Era
https://www.zerohedge.com/ai/google-unv ... gentic-era

[winston]

not vested

Alphabet posted Q1 revenue of US$94.7bn and EPS of US$5.11, both ahead of estimates, driven by its cloud unit which reported US$20bn in sales and a backlog that nearly doubled to over US$460bn, as AI demand accelerates across its business.

Source: Phillips

[winston]

Why Palantir Suddenly Looks Vulnerable After Google’s Move

by Jeffrey Neal Johnson

Key Points

Alphabet's strategic entry into defense contracting unlocks a substantial and durable government revenue stream for its Google Cloud division.

Alphabet's scalable, high-margin cloud infrastructure offers a compelling and efficient alternative to legacy defense software business models.

By providing foundational AI models to the Pentagon, Alphabet establishes itself as a core contractor in the future of defense technology.

Source: Market Beat

[winston]

not vested

Here's Why the AI Infrastructure Story Is Just Getting Bigger for GOOGL

By Ryan Hasson

Key Points

Alphabet is in talks with Marvell Technology to co-develop two new AI chips, expanding its multi-vendor chip supply chain strategy.

GOOGL committed $175-$185 billion in 2026 capital expenditures, backed by a $240 billion Google Cloud contract backlog.

Alphabet's most recent quarter beat revenue and EPS estimates, with analysts holding a Moderate Buy rating and a $368.94 price target.

Source: Market Beat

[winston]

not vested

GOOGLE inc. - Stock Analyst Research
Target Price* US 450.00
Recommendation ACCUMULATE

Alphabet Inc. - The full-stack advantage delivers

1Q26 earnings below our expectations, with revenue up 22% YoY to US$109.9bn driven by strong ad and cloud performance and adj.

PATMI declined 28% YoY to US$24.9bn due to massive AI spending.

1Q26 revenue/PATMI were at 23%/16% of our FY26e forecasts.

Strong revenue growth across core business segments due to
1) resilient GOOGL ad performance (+19% YoY) with Gemini 3 integration in Search and increasing Shorts and Living Room monetisation, and
2) continuing strong Cloud demand (+63% YoY).

We maintained an ACCUMULATE rating and raised our DCF target price to US$450 (from US$395), driven by GOOGL’s differentiated full-stack AI capabilities.

We increased our FY26e revenue/PATMI forecast by ~4%/~6% respectively, reflecting stronger-than-expected momentum from its vertically integrated AI ecosystem spanning custom silicon, optimised data centres, and high-performing Gemini models.

This is supporting robust growth across both internal and external demand, benefiting the Ads and Cloud segments.

Source: Phillips

https://www.poems.com.sg/stock-research/GOOGL/

[winston]

not vested

JPM: Alphabet Inc. (GOOGL.US) 1Q Results Strong, Cloud Backlog Nearly Doubles QoQ

JPM released a research report stating that Alphabet Inc. (GOOGL.US) delivered strong results in 1Q, with its full-stack artificial intelligence strategy driving accelerating growth.

During the period, Google Cloud backlog increased nearly onefold QoQ to USD462.3 billion, accounting for 99% of Alphabets total backlog.

The bank expects more than 50% of the backlog to convert into revenue over the next 24 months, implying two-year cloud revenue visibility of more than USD230 billion.

TPU hardware sales are already included in the backlog and are expected to begin revenue recognition later in 2026, with the vast majority to be recognized in 2027.

Search and other paid clicks recorded accelerating growth for the fourth consecutive quarter, rising 13% YoY in 1Q, while cost per click increased 5%. Management expects capital expenditure to increase significantly again in 2027.

JPM forecasts 2027 capital expenditure to reach USD293.4 billion, up 54% YoY.

JPM maintained its Overweight rating on Alphabet Inc. (GOOGL.US) with a TP of USD460, based on a projected 2027 price-to-earnings ratio of 32 times.

The bank believes Google is one of the few large-cap companies capable of delivering double-digit growth in revenue and EPS, and that its shares should trade at a premium to the S&P 500 Index.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[behappyalways]

How Alphabet Slipped Ahead In The AI Race
https://m.youtube.com/watch?v=_BngA7hLTv4