HomeTechnologyAlphabet Stocks Slip Despite Beating Earnings Estimates

Alphabet Stocks Slip Despite Beating Earnings Estimates

Google parent company Alphabet Inc. reported strong second-quarter earnings on Wednesday, beating analysts’ estimates at large. The company’s $84.7 billion revenue topped forecasts of $84.3 billion, while earnings per share for Q2 was $1.85, exceeding Wall Street estimates of $1.85 per share.

Data from Bloomberg showed that revenue rose by 14% from the previous year’s figure of $74.6 billion, while earnings per share surged 31% year-over-year, with earnings of $1.44 per share in 2023.

Alphabet’s cloud business outperformed Wall Street expectations in the second quarter, with Google’s cloud revenue of $10.35 billion and operating income of $1.17 billion beating estimates of $10.1 billion and $982.2 million respectively. This was a significant year-over-year growth, with 2023’s Q2 figures coming in at $8 billion and $395 million respectively.

The company’s advertising revenue of $64.6 billion outperformed analysts’ expectations of $64.5 billion, while also exceeding last year’s figure of $58.1 billion. Still, YouTube’s ad revenue fell short of expectations, with $8.66 billion in revenue compared to expectations of $8.95 billion.

Following the release of its fiscal results, Alphabet’s shares declined by 3% in pre-market trading on Wednesday. Despite this decline, the company’s stocks are still up 30% for the year to date.

Warren Buffett to Step Down as Berkshire Hathaway CEO at the End of 2025

Warren Buffett is ready to step down as the CEO of multinational conglomerate Berkshire Hathaway. Buffet announced his decision while speaking at the company’s...

Microsoft Stock Soars on Better-Than-Expected Q3 Earnings

Microsoft reported better-than-expected third-quarter earnings on Wednesday, which caused the company's stock to soar by more than 8% in after-hours trading. Microsoft reported $3.46 in...

Gold Continues to Drop From Record Highs, Dollar Ends Its Slide

After reaching fresh record highs at the beginning of last week, gold has been in the midst of a continuous drop. Meanwhile, the U.S....