Alphabet (NASDAQ:GOOG) Trading 1.4% Higher – Still a Buy?

Alphabet Inc. (NASDAQ:GOOG)’s stock price traded up 1.4% during mid-day trading on Tuesday . The company traded as high as $385.39 and last traded at $384.84. 15,984,043 shares were traded during mid-day trading, a decline of 22% from the average session volume of 20,542,846 shares. The stock had previously closed at $379.38.

More Alphabet News

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Alphabet’s Waymo unit is rolling out its new “Ojai” robotaxi to select riders in major U.S. cities, with a roomier design, lower manufacturing costs, and a removable steering wheel — all signs that the autonomous vehicle business may become more scalable and economically viable. Article Title
• Positive Sentiment: Alphabet also announced a Google Cloud partnership with EQT to help more than 300 portfolio companies accelerate AI adoption, reinforcing cloud and AI as key growth drivers for the company beyond advertising. Article Title
• Neutral Sentiment: Commentary from Jim Cramer and several market notes described Alphabet as a “crucial position” and suggested investors still may be underestimating Waymo’s value, which can help sentiment but does not change fundamentals by itself. Article Title
• Neutral Sentiment: There was also interest in Alphabet’s AI-search changes and new Gemini-powered ad formats, which could improve monetization over time, but some observers say the overhaul is still controversial and early reactions are mixed. Article Title
• Negative Sentiment: Federal prosecutors charged a Google software engineer with using confidential information to make about $1.2 million on Polymarket bets, creating unwanted reputational risk for Alphabet and adding headlines that may pressure sentiment. Article Title
• Negative Sentiment: Alphabet’s recent AI Search overhaul is also drawing criticism, with some users and rival search services benefiting as concerns grow that Google’s changes could hurt traffic patterns and user satisfaction. Article Title

Analysts Set New Price Targets

A number of research analysts recently issued reports on the stock. UBS Group reissued a “neutral” rating and issued a $348.00 price objective (up from $345.00) on shares of Alphabet in a research note on Thursday, February 12th. Scotiabank restated an “outperform” rating and issued a $450.00 target price (up from $400.00) on shares of Alphabet in a research report on Thursday, April 30th. Piper Sandler restated an “overweight” rating and issued a $395.00 target price on shares of Alphabet in a research report on Thursday, February 5th. Wells Fargo & Company upgraded shares of Alphabet from a “hold” rating to a “strong-buy” rating in a research report on Monday, February 23rd. Finally, Sanford C. Bernstein restated a “market perform” rating and issued a $345.00 target price on shares of Alphabet in a research report on Thursday, February 5th. Six investment analysts have rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat, Alphabet currently has an average rating of “Buy” and an average price target of $372.65.

Alphabet Trading Up 0.3%

The company has a market cap of $4.68 trillion, a price-to-earnings ratio of 29.45, a price-to-earnings-growth ratio of 1.65 and a beta of 1.25. The business’s fifty day moving average price is $341.87 and its 200 day moving average price is $323.94. The company has a debt-to-equity ratio of 0.16, a current ratio of 1.92 and a quick ratio of 1.92.

Alphabet (NASDAQ:GOOG) last issued its quarterly earnings results on Thursday, April 30th. The information services provider reported $5.11 EPS for the quarter, topping analysts’ consensus estimates of $2.68 by $2.43. The company had revenue of $109.90 billion for the quarter, compared to analyst estimates of $106.96 billion. Alphabet had a net margin of 37.92% and a return on equity of 38.99%. Alphabet’s revenue was up 21.8% compared to the same quarter last year. During the same quarter in the previous year, the business earned $2.81 earnings per share. Research analysts anticipate that Alphabet Inc. will post 14.29 earnings per share for the current fiscal year.

Alphabet Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, June 15th. Stockholders of record on Monday, June 8th will be issued a dividend of $0.22 per share. This represents a $0.88 dividend on an annualized basis and a dividend yield of 0.2%. This is a boost from Alphabet’s previous quarterly dividend of $0.21. The ex-dividend date is Monday, June 8th. Alphabet’s dividend payout ratio (DPR) is presently 6.41%.

Insider Buying and Selling at Alphabet

In related news, CAO Amie Thuener O’toole sold 955 shares of Alphabet stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $298.00, for a total transaction of $284,590.00. Following the completion of the transaction, the chief accounting officer owned 9,918 shares of the company’s stock, valued at $2,955,564. This trade represents a 8.78% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, major shareholder 2019 Gp L.L.C. Gv sold 87,475 shares of Alphabet stock in a transaction on Friday, May 15th. The stock was sold at an average price of $23.75, for a total transaction of $2,077,531.25. The disclosure for this sale is available in the SEC filing. Insiders have sold 226,481 shares of company stock valued at $27,422,061 over the last three months. 12.99% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Alphabet

Large investors have recently added to or reduced their stakes in the business. Imprint Wealth LLC acquired a new stake in Alphabet during the third quarter worth approximately $31,000. Nvest Wealth Strategies Inc. acquired a new position in shares of Alphabet during the fourth quarter valued at about $38,000. Lifetime Wealth Management P.C. acquired a new position in shares of Alphabet during the fourth quarter valued at about $38,000. Bard Associates Inc. acquired a new position in shares of Alphabet during the fourth quarter valued at about $41,000. Finally, Towne Trust Company N.A raised its holdings in shares of Alphabet by 34.0% during the fourth quarter. Towne Trust Company N.A now owns 134 shares of the information services provider’s stock valued at $42,000 after purchasing an additional 34 shares during the period. Institutional investors and hedge funds own 27.26% of the company’s stock.

Alphabet Company Profile

Alphabet Inc (NASDAQ: GOOG) is a multinational technology holding company headquartered in Mountain View, California. Formed in 2015 through a corporate restructuring of Google, Alphabet serves as the parent to Google LLC and a portfolio of businesses collectively known as “Other Bets.” Google was originally founded in 1998 by Larry Page and Sergey Brin; Alphabet is led by CEO Sundar Pichai, who oversees Google and the broader company while the founders remain prominent shareholders and influential figures in the company’s history.

Alphabet’s core business centers on internet search and advertising, with Google Search and the company’s ad platforms (including Google Ads and AdSense) generating the majority of revenue by connecting advertisers with consumers worldwide.