Google’s parent company, Alphabet (NASDAQ: GOOGL), closed on Wednesday at $190.15, marking a drop of $6.97 (3.54%). While the dip reflects some market hesitation, the broader trend tells a different story. Over the past month, GOOGL has gained 6.8%, and year-to-date, the stock is up a robust 36.25%. Despite recent volatility, Google remains near the upper bounds of its 52-week range, indicating underlying strength even as the S&P 500  (SPY) pushes toward new highs.GOOGL has traded within a wide range of $16 ...

How business used to be done has changed, and the share of transactions, marketing, and sales done in the new digitized economy is growing. Gone are the days of door-to-door salesmanship, unless it is to sell a power-washing or solar panel service, which has several limitations as far as efficiency and scalability are concerned. Today’s business environment is headed to—and focused on—online sales since that is where the attention is. A license to market and sell a product has been given to pretty much anyo ...

Across the world, companies rely on Microsoft and Google to administer email accounts for employees. Keeping all those mailboxes secure, however, is a business opportunity.Proofpoint went public in 2012, and as enterprises migrated to the cloud, many adopted the company's secure email gateway software as a precautionary measure. But private equity firm Thoma Bravo bought Proofpoint in 2021, and another provider, Mimecast, went private in 2022.Then generative artificial intelligence took off. The trending te ...

Alphabet Inc. (NASDAQ: GOOGL) saw its shares jump by over 5% on December 10, marking the tech giant’s largest single-day gain since April 2024. This surge followed the announcement of its quantum computing chip, “Willow,” a breakthrough hailed as a game-changer in quantum computing, widely regarded as the next frontier in the tech industry.The news sent ripples across the broader technology and cryptocurrency markets. The company’s stock closed at its highest level since July at $185.24, adding approximatel ...

Alphabet Inc. (NASDAQ: GOOGL) shares plunged over 4% on November 21, after the Department of Justice (DOJ) called for Google to divest its Chrome browser as part of proposed antitrust remedies.This proposal marks a significant escalation in the DOJ’s long-running legal battle, which accuses Google of maintaining an illegal monopoly over internet search and advertising. According to a court filing on November 20, selling Chrome would “permanently stop Google’s control of this critical search access point and ...

KEY TAKEAWAYSThe U.S. Department of Justice said Alphabet's Google should sell off its Chrome browser, following an August court ruling that the tech giant holds an illegal monopoly in the search market.Kent Walker, Google president of global affairs, said Google will file its own proposals next month.DOJ says Google should spin off Android if it doesn't meet some suggested remedies. The U.S. Department of Justice (DOJ) said Alphabet's Google (GOOGL) should sell off its Chrome browser, following an August c ...

谷歌（GOOGL）FY2024Q3 业绩点评及业绩说明会纪要 AI 云业务快速增长，继续加码资本开支 � 事项: 2024 年 10 月 29 日 Alphabet 发布 FY2024Q3 报告,FY2024Q3 裁止至 2024 年 9月 30 日,即自然李度 CY2024Q3,并召开业绩说明会。 � 评论: 1. 业绩情况:FY2024Q3 实现营业收入 883 亿美元(YoY+15%),营业利润为 285 亿美元(YoY+34%),营业利润率为 32%。净利润为 263 亿美元(YoY+34%), EPS 为 2.12 美元 ( YoY+37% )。 2. 分业务看:谷歌服务收入 765 亿美元(YoY+13%),营业利润 309 亿美元 (YoY+29%),营业利润率为 40%,其中谷歌搜索和其他广告收入 494 亿美元 ( YoY+12% )，YouTube 广告收入为 89 亿美元(YoY+12%)，网络广告收入为 75 亿美元(YoY-2%)。订阅平台和设备收入为 107 亿美元（YoY+28%）。谷歌 云收入 114 亿美金 ( YoY+35% )。 3. 资本支出:FY2024Q3 资本支出 ...

Investment Rating - Investment Rating: Overweight (Maintained) [1] Core Views - Google's Q3 2024 performance exceeded expectations with revenue of $882.68 billion, up 15.1% YoY, and operating profit of $285.21 billion, up 33.6% YoY [1] - Google Cloud revenue grew 35% YoY to $113.53 billion, with operating profit margin (OPM) improving to 17.1%, up 14 percentage points YoY [1] - AI-driven search enhancements, including AI Overview and Circle to Search, have been deployed in over 100 countries, reaching 1 billion monthly users and 150 million Android devices [1] - AI tools have improved ad conversion rates and reduced ad creation costs, boosting advertiser engagement [1] Financial Performance Revenue and Profit - Q3 2024 revenue: $882.68 billion, +15.1% YoY, 2.1% above Bloomberg consensus [1] - Q3 2024 operating profit: $285.21 billion, +33.6% YoY, 6.9% above Bloomberg consensus [1] - Q3 2024 GAAP net income: $263.01 billion, +33.6% YoY, 15.4% above Bloomberg consensus [1] - 2024-2026 revenue forecast: $3,502.52 billion, $3,947.20 billion, $4,393.82 billion, with YoY growth of 13.9%, 12.7%, and 11.3% respectively [1] - 2024-2026 net income forecast: $995.75 billion, $1,144.81 billion, $1,312.65 billion, with YoY growth of 34.9%, 15.0%, and 14.7% respectively [1] Segment Performance - Google Services revenue: $765.10 billion, +12.5% YoY, 1.7% above Bloomberg consensus [1] - Search revenue: $493.85 billion, +12.2% YoY [1] - YouTube ad revenue: $89.21 billion, +12.2% YoY [1] - Google Network revenue: $75.48 billion, -1.6% YoY [1] - Subscription revenue: $106.56 billion, +27.8% YoY, 8.8% above Bloomberg consensus [1] - Google Cloud revenue: $113.53 billion, +35% YoY, 5.2% above Bloomberg consensus [1] Financial Ratios - ROE: 26.04% (2023A), 30.46% (2024E), 27.82% (2025E), 23.42% (2026E) [3] - ROA: 18.34% (2023A), 22.50% (2024E), 21.70% (2025E), 19.39% (2026E) [3] - Total asset turnover: 76% (2023A), 79% (2024E), 75% (2025E), 65% (2026E) [3] - Debt-to-asset ratio: 29.58% (2023A), 26.14% (2024E), 22.01% (2025E), 17.21% (2026E) [3] Balance Sheet and Cash Flow - Total assets: $402.392 billion (2023A), $441.874 billion (2024E), $518.946 billion (2025E), $652.174 billion (2026E) [4] - Cash and cash equivalents: $24.048 billion (2023A), $19.026 billion (2024E), $50.923 billion (2025E), $140.120 billion (2026E) [4] - Net cash increase: $2.169 billion (2023A), -$4.323 billion (2024E), $39.847 billion (2025E), $105.271 billion (2026E) [5] Analyst Background - Analyst: Jin Rong, Master of Economics from CUHK, Bachelor of Mathematics from Tianjin University, with experience at Shenwan Hongyuan Securities and leading internet companies [6]

证券研究报告 | 2024年10月31日 谷歌(ALPHABET)-A（GOOGL.O） 优于大市 云业务收入和利润率大幅提升，广告业务高基数下稳健增长 业绩总览：广告业务持续加速增长，云增速恢复，利润率显著提升。① 整体：FY24Q3 公司营收 882.68 亿美元（同比+15%，CC+16%），GAAP 毛 利率 58.7%，营业利润 285 亿美元（营业利润率 32.3%）。②分业务： 谷歌服务收入 765 亿美元（同比+10.4%），其中包括谷歌广告收入 658.54 亿美元（同比+9.42%）和其他非广告业务收入 106.56 亿美元（同比 +27.8%）。广告收入包括谷歌搜索广告收入 493.85 亿美元（同比+12.2%）， YouTube 广告收入 89.21 亿美元（同比+12.2%），谷歌网络联盟收入 75.48 亿美元（同比-1.58%）。谷歌云收入 113.53 亿美元（同比+35%、环比 +9.72%）；Other Bets（创新业务）收入 3.38 亿美元（同比+13.8%）。 业务重点：①广告业务高基数下增长稳健，AI 功能提升搜索意愿和需求： 受益于金融保险和零售垂直业务的强劲 ...

Revenue and Net Income - Total revenues for the nine months ended September 30, 2024, were $253.549 billion, compared to $221.084 billion in the same period in 2023[12] - Net income for the nine months ended September 30, 2024, was $73.582 billion, up from $53.108 billion in the same period in 2023[12] - Net income for the three months ended September 2023 was $19.689 billion, increasing to $26.301 billion for the same period in 2024[14] - Comprehensive income for the nine months ended September 2023 was $53.675 billion, rising to $74.756 billion for the same period in 2024[14] - Net income for the nine months ended September 2024 was $73.582 billion[20] - Net income increased from $53.108 billion in September 2023 to $73.582 billion in September 2024[22] - Total revenues for the three months ended September 30, 2024, were $88,268 million, compared to $76,693 million for the same period in 2023[61] - Total revenues for the nine months ended September 30, 2024, were $253,549 million, compared to $221,084 million for the same period in 2023[63] - Revenues for the nine months ended September 30, 2024, increased to $253.549 billion from $221.084 billion in the same period in 2023[12] - Net income for the nine months ended September 30, 2024, rose to $73.582 billion from $53.108 billion in 2023[12] - Total revenues increased from $76.693 billion in September 2023 to $88.268 billion in September 2024[30] Cash and Investments - Total cash, cash equivalents, and marketable securities as of September 30, 2024, were $93.230 billion, down from $110.916 billion as of December 31, 2023[9] - Total investments with fair value change recorded in net income amounted to $19.49 billion, with $6.918 billion in gains and $12.572 billion in losses[38] - The carrying value of non-marketable equity securities was $33.7 billion as of September 30, 2024, with $13.7 billion remeasured at fair value during the quarter[42] - Total investments with fair value change reflected in other comprehensive income were $63.585 billion, including $880 million in gains and $534 million in losses[40] - The estimated fair value of available-for-sale marketable debt securities was $68.047 billion, with $5.439 billion due in 1 year or less and $13.220 billion due after 10 years[43] - Gross unrealized losses on government bonds, corporate debt securities, and mortgage-backed securities totaled $1.910 billion as of December 31, 2023[44] - The carrying value of marketable and non-marketable equity securities was $39.141 billion as of September 30, 2024, with cumulative net gains of $14.350 billion[48] - Total gain (loss) on debt securities recognized in other income (expense) was $160 million for the three months ended September 30, 2024[45] - The long-term portion of marketable equity securities subject to lock-up restrictions was $1.4 billion as of December 31, 2023[38] - Gross realized gains on debt securities were $426 million for the nine months ended September 30, 2024[45] - Non-marketable equity securities cumulative net gain (loss) included $22.4 billion gains and $8.5 billion losses as of September 30, 2024[48] - Realized net gain on equity securities sold during the three months ended September 30, 2023 was $42 million, compared to $41 million for the same period in 2024[49] - Unrealized net gain on non-marketable equity securities for the nine months ended September 30, 2024 was $3.038 billion, compared to a loss of $678 million for the same period in 2023[49] - Total cumulative net gains on equity securities sold during the nine months ended September 30, 2024 were $672 million, compared to $559 million for the same period in 2023[50] - Equity securities accounted for under the equity method had a carrying value of $2.0 billion as of September 30, 2024, up from $1.7 billion as of December 31, 2023[51] - Investments in convertible notes increased to $2.8 billion as of September 30, 2024, from $921 million as of December 31, 2023[52] - The net accumulated loss on foreign currency cash flow hedges before tax effect was $433 million as of September 30, 2024, expected to be reclassified into revenues within the next 12 months[54] - Gross notional amounts of outstanding foreign exchange contracts designated as cash flow hedges increased to $22.693 billion as of September 30, 2024, from $18.039 billion as of December 31, 2023[58] - Total fair value of outstanding derivative instruments increased to $645 million in assets and $770 million in liabilities as of September 30, 2024, compared to $453 million in assets and $445 million in liabilities as of December 31, 2023[58] - Amount included in the assessment of effectiveness for derivatives in cash flow hedging relationship was a loss of $738 million for the three months ended September 30, 2024, compared to a gain of $652 million for the same period in 2023[59] - Total investments with fair value change recorded in net income amounted to $19.49 billion, with $6.918 billion in gains and $12.572 billion in losses[38] - The long-term portion of marketable equity securities subject to long-term lock-up restrictions was $1.4 billion as of December 31, 2023[38] - Total investments with fair value change reflected in other comprehensive income were $63.585 billion, with $880 million in gains and $534 million in losses[40] - The carrying value of non-marketable equity securities was $33.7 billion as of September 30, 2024, with $13.7 billion remeasured at fair value during the three months ended September 30, 2024[42] - The estimated fair value of investments in available-for-sale marketable debt securities was $68.047 billion as of September 30, 2024, with $5.439 billion due in 1 year or less[43] - Total unrealized losses on government bonds, corporate debt securities, and mortgage-backed securities were $1.910 billion as of December 31, 2023[44] - Total unrealized losses on government bonds, corporate debt securities, and mortgage-backed securities were $520 million as of September 30, 2024[44] - Gross realized gain on debt securities was $426 million for the nine months ended September 30, 2024[45] - The carrying value of marketable and non-marketable equity securities was $39.141 billion as of September 30, 2024, with $14.350 billion in cumulative net gains[48] - Realized net gain on equity securities sold during the three months ended September 30, 2023 was $42 million, compared to $41 million for the same period in 2024[49] - Unrealized net gain on non-marketable equity securities for the three months ended September 30, 2024 was $1.462 billion, a significant increase from a loss of $184 million in 2023[49] - Cumulative net gains on equity securities sold during the nine months ended September 30, 2024 were $672 million, up from $559 million in 2023[50] - The carrying value of equity securities accounted for under the equity method increased from $1.7 billion as of December 31, 2023 to $2.0 billion as of September 30, 2024[51] - Investments in convertible notes grew substantially from $921 million as of December 31, 2023 to $2.8 billion as of September 30, 2024[52] - The net accumulated loss on foreign currency cash flow hedges before tax effect was $433 million as of September 30, 2024, expected to be reclassified into revenues within the next 12 months[54] - Gross notional amounts of outstanding foreign exchange contracts designated as cash flow hedges increased from $18.039 billion as of December 31, 2023 to $22.693 billion as of September 30, 2024[58] - Total fair value of outstanding derivative instruments rose from $453 million as of December 31, 2023 to $645 million as of September 30, 2024[58] - Amount included in the assessment of effectiveness for derivatives in cash flow hedging relationship was a loss of $738 million for the three months ended September 30, 2024, compared to a gain of $652 million in 2023[59] - Total comprehensive income related to derivatives in hedging relationships was a loss of $1.265 billion for the three months ended September 30, 2024, compared to a gain of $1.004 billion in 2023[59] Expenses and Costs - Research and development expenses for the nine months ended September 30, 2024, were $36.210 billion, up from $33.314 billion in the same period in 2023[12] - Cost of revenues for the nine months ended September 30, 2024, was $105.693 billion, compared to $95.757 billion in the same period in 2023[12] - Total costs and expenses for the nine months ended September 30, 2024, were $172.131 billion, up from $160.488 billion in 2023[12] - Stock-based compensation expense for the nine months ended September 2023 was $16.905 billion[17] - Stock-based compensation expense for the nine months ended September 30, 2024, was $17.104 billion, up from $16.905 billion in 2023[20] - Total stock-based compensation (SBC) expense was $5.8 billion for the three months ended September 30, 2023, and $5.9 billion for the same period in 2024[109] - Total SBC expense was $16.5 billion for the nine months ended September 30, 2023, and $17.0 billion for the same period in 2024[109] - Provision for income taxes increased from $1.508 billion in 2023 to $5.405 billion in 2024 for the three months ended September 30[111] - Effective tax rate increased from 7.1% in 2023 to 17.0% in 2024 for the three months ended September 30[111] Assets and Liabilities - Total assets as of September 30, 2024, were $430.266 billion, up from $402.392 billion as of December 31, 2023[9] - Property and equipment, net, increased to $161.270 billion as of September 30, 2024, from $134.345 billion as of December 31, 2023[9] - Total stockholders' equity increased from $267.141 billion as of June 30, 2023, to $273.202 billion as of September 30, 2023[16] - Total stockholders' equity as of September 30, 2024, was $314.119 billion[20] - Retained earnings as of September 30, 2024, increased to $235.317 billion from $211.247 billion at the end of 2023[20] - Other comprehensive income (loss) for the nine months ended September 30, 2024, was $1.174 billion, compared to $567 million in 2023[20] - Total long-term debt as of September 30, 2024, was $12,297 million, compared to $13,253 million as of December 31, 2023[73] - The estimated fair value of the outstanding notes was approximately $10.3 billion as of December 31, 2023, and $9.5 billion as of September 30, 2024[73] - The company had $10.0 billion of revolving credit facilities as of September 30, 2024, with $4.0 billion expiring in April 2025 and $6.0 billion expiring in April 2028[74] - The allowance for credit losses on accounts receivable increased from $771 million as of December 31, 2023, to $857 million as of September 30, 2024[75] - Property and equipment, net, increased from $134,345 million as of December 31, 2023, to $161,270 million as of September 30, 2024[76] - Accrued expenses and other current liabilities increased from $46,168 million as of December 31, 2023, to $46,585 million as of September 30, 2024[77] - Goodwill increased from $29,198 million as of December 31, 2023, to $31,935 million as of September 30, 2024, with additions of $2,730 million[85] - The company has content licensing agreements with future fixed or minimum guaranteed commitments of $9.2 billion as of September 30, 2024[86] - Long-lived assets in the United States increased to $129.32 billion as of September 30, 2024, up 17.5% from $110.05 billion as of December 31, 2023[116] - Total long-lived assets grew to $174.83 billion as of September 30, 2024, an 17.8% increase from $148.44 billion as of December 31, 2023[116] Share Repurchases and Dividends - Repurchases of stock for the nine months ended September 2023 totaled $46.156 billion[17] - Repurchases of stock for the nine months ended September 30, 2024, totaled $46.954 billion, compared to $46.156 billion in 2023[20] - The company repurchased $15.3 billion and $47.0 billion of Class A and Class C shares in the three and nine months ended September 30, 2024, respectively[100] - As of September 30, 2024, $59.7 billion remained available for Class A and Class C share repurchases under the April 2024 authorization[100] - The company paid $1.2 billion and $2.3 billion in cash dividends for Class A shares in the three and nine months ended September 30, 2024, respectively[103] - The company paid $1.1 billion and $2.2 billion in cash dividends for Class C shares in the three and nine months ended September 30, 2024, respectively[103] Legal and Regulatory Matters - The company paid a $3.0 billion cash payment in Q3 2024 for the 2017 EC shopping fine of €2.4 billion ($2.7 billion as of June 27, 2017)[91] - The company recognized a charge of $5.1 billion in 2018 for the EC Android fine, later reduced by $217 million in 2022[91] - The company recognized a charge of $1.7 billion in Q1 2019 for the EC AdSense fine, which was overturned in September 2024[91] - The company funded a settlement amount to an escrow agent in May 2024 related to a U.S. antitrust complaint filed by state Attorneys General[91] - The company is subject to ongoing privacy investigations and lawsuits in the U.S. and EU, which could result in significant fines and product changes[95] - The company is under audit by various domestic and foreign tax authorities regarding non-income tax matters, with potential material differences in outcomes[99] Business Segments and Revenue Growth - Google Search & other revenues grew from $44.026 billion in September 2023 to $49.385 billion in September 2024[30] - YouTube ads revenues increased from $7.952 billion in September 2023 to $8.921 billion in September 2024[30] - Google Cloud revenues rose from $8.411 billion in September 2023 to $11.353 billion in September 2024[30] - United States revenues grew from $36.354 billion in September 2023 to $43.139 billion in September 2024[31] - EMEA revenues increased from $22.661 billion in September 2023 to $25.472 billion in September 2024[31] - APAC revenues rose from $13.126 billion in September 2023 to $14.547 billion in September 2024[31] - Revenue backlog as of September 30, 2024, was $86.8 billion, primarily related to Google Cloud[32] - Deferred revenue as of December 31, 2023, was $5.0 billion, with $3.4 billion recognized as revenue during the nine months ended September 30, 2024[33] - Google Services revenue increased to $76.51 billion in Q3 2024, up from $67.99 billion in Q3 2023, representing a 12.5% growth[115] - Google Cloud revenue grew to $11.35 billion in Q3 2024, a 35% increase compared to $8.41 billion in Q3 2023[115] - Other Bets revenue rose to $388 million in Q3 2024, up 30.6% from $297 million in Q3 2023[115] - Total revenues for Alphabet reached $88.27 billion in Q3 2024, a 15.1% increase from $76.69 billion in Q3 2023[115] - Google Services operating income grew to $30.86 billion in Q3 2024, up 28.9% from $23.94 billion in Q3 2023[115] - Google Cloud operating income surged to $1.95 billion in Q3 2024, a 632% increase from $266 million in Q3 2023[115] AI and Technology Investments - The company expects capital expenditures to increase, particularly in technical infrastructure investment to support AI products and services[5] - The company plans to continue investing in new businesses, products, services, technologies, and acquisitions[5] - Alphabet consolidated AI model development teams from Google Research and Google DeepMind to accelerate AI progress, effective Q2 2024[113] - Alphabet expects capital expenditures to increase, particularly in