All articles tagged with #alphabet
Berkshire Hathaway’s $330 billion portfolio has 37.4% allocated to three AI-related holdings—Alphabet (GOOG/GOOGL), Coca-Cola, and Apple—with Apple the largest at 20.7%, highlighting a steady, long-term investing approach under new leadership as AI initiatives bolster these core businesses.
Alphabet’s Gemini 3.5 Flash aims to deliver frontier-level AI at under half the price, with enterprises potentially saving about $1 billion annually by migrating 80% of workloads from Claude and ChatGPT. Gemini’s market presence is growing (about 27% of AI web traffic, 900 million monthly users), new pricing cuts (Ultra plan to $200/month) and the Gemini Spark 24/7 cloud capability bolster adoption. OpenAI’s dominance is waning while Google Cloud revenue rose 63% to $20 billion, and Alphabet posted strong earnings growth with ample cash, supporting a compelling AI-driven growth narrative and a roughly 30x earnings multiple. The article views these factors as making Alphabet a buy, though not based on AI alone.
Billionaire investor Bill Ackman says Pershing Square’s sale of Alphabet shares was not a bearish bet against Google, but a capital reallocation to finance a new MSFT stake. The move suggests Microsoft looked more attractive on price and timing, while Ackman remains bullish on Alphabet for the long term, signaling a relative-value shift rather than a negative view on Google.
Pershing Square founder Bill Ackman explained on X that he sold Alphabet stock to fund a new Microsoft position, stressing he’s not betting against Google but that Microsoft offered better value given current valuations and his capital limits. He highlighted Azure growth and AI momentum as reasons MSFT is compelling, even as the stock has lagged this year, using GOOG proceeds to finance the roughly $2B MSFT stake.
Berkshire Hathaway has tripled its Alphabet stake and invested in Delta Air Lines and Macy’s as it moves forward under its new CEO.
Alphabet is reportedly exploring its first Japanese yen-denominated bond issue to diversify funding for its growing AI investments. The potential sale would likely be senior unsecured bonds and depends on market conditions, with Mizuho, Bank of America, and Morgan Stanley leading the mandate. The move follows sizable recent bond issuances and a raised AI-capex outlook, while GOOGL stock trades slightly lower in premarket trading and analysts remain broadly positive.
Megacaps Alphabet and Meta Platforms are framed as the best AI growth bets for 2026: Alphabet leverages Gemini-driven search improvements, rapid Google Cloud expansion, and a chip/data-center backbone to push AI-enabled revenue higher, while Meta’s AI stack (GEM, Spark) and ongoing chip/datacenter investments are boosting ad impressions and pricing. With solid margins and favorable forward valuations (Alphabet around 29x, Meta around 20x), the article argues these giants offer long‑term AI upside despite near-term ad-cycle volatility.
Alphabet posted a strong Q1 2026 beat across all divisions, with Google Cloud up 63% to over $20B, solid YouTube and search performance, and revenue of $109.9B. The cloud backlog exceeded $460B, and 2026 capex guidance rose to $180–$190B. The market cap surpassed $4.6T, narrowing Nvidia’s roughly $200B lead. Options imply about a 53% chance Alphabet could hit $5T before May 15, as investors pivot from AI chips to deployed AI applications across cloud, search, and YouTube. The article frames a shift in value: Nvidia remains the hardware engine, while Alphabet monetizes AI via scalable platforms and services.,
Alphabet's shares surge toward a $5 trillion market cap and could overtake Nvidia as the world's most valuable company, with options pricing suggesting roughly a 50% chance Alphabet hits $400 before Nvidia's May earnings; Nvidia stock has fallen on a WSJ report about OpenAI revenue, making the leadership swap contingent on upcoming results.
Alphabet jumped after beating revenue estimates and Google Cloud revenue rising 63% year over year, fueling a 34% April rally—the strongest since Google’s 2004 IPO—while Meta fell as investors questioned the returns on its AI spending; Alphabet also lifted its year capex forecast to $180–$190 billion, and Meta explored a $20–$25 billion bond deal to fund its AI buildout, underscoring divergent paths in the AI investing cycle.
Alphabet blew past estimates in Q1 2026 with revenue of $110 billion, up 22% year over year, led by Google Cloud’s 63% jump to $20 billion and surging demand for AI. Operating margin rose to 36.1%, net income to $62.6 billion, and EPS to $5.11 (up 82%). Google Cloud backlog swelled to $462 billion, with management raising 2026 capex to $180–$190 billion to fund growth, and demand for Tensor Processing Units (TPUs) was described as unprecedented as new hardware deals broaden revenue. Alphabet also raised its quarterly dividend by 5% to $0.22 per share. At about 28x next year’s earnings, the stock remains reasonably priced given cloud and AI momentum.
Four Magnificent Seven members reported earnings: Alphabet beat on revenue but missed a penny of adjusted EPS, while Microsoft, Amazon and Meta fell on the day as investors weighed the AI-capex boom against near-term earnings. All four raised 2026 capex guidance, underscoring persistent AI infrastructure spending. Cloud results were strong across the board—Microsoft Azure near 40% growth, Amazon Web Services up 28%, and Alphabet’s Google Cloud up about 63% with a $460 billion backlog—yet Meta faced a user decline and potential costs tied to youth-safety lawsuits. Alphabet’s roughly 8% stock rise led while Microsoft (-5%), Amazon (-~1.7%), and Meta (-~9%) declined, reflecting a market willing to reward AI-driven growth even as earnings volatility remains.
Alphabet shares climbed as competitors grapple with the costly race to scale AI, signaling investor confidence in Google’s AI-driven profitability even as the broader tech sector wobbles.
Alphabet posted a strong Q1, with revenue up 22% to $109.9B and net income up 81%, led by Google Search/YouTube and a 63% surge in Google Cloud. Operating income rose 30% and the company raised its quarterly dividend to $0.22. AI spending appears to be paying off across the portfolio, though capital expenditures jumped and free cash flow declined as Alphabet expands its AI infrastructure.
Alphabet beat first-quarter expectations as Google Cloud posted robust growth, helping lift revenue and earnings and signaling stronger diversification beyond ads, with investors responding to the cloud-driven upside.