Alphabet Stock Tumbles After Apple Executive's Testimony

Core Viewpoint - Alphabet Inc's stock has experienced a significant decline, influenced by competitive pressures from AI technologies and options trading activity [1][2][3] Group 1: Stock Performance - Alphabet Inc's stock is down 7.6%, trading at $150.77, and is on track for its worst single-day percentage drop since October 2023 [1][3] - The stock is approaching its 52-week low of $140.53, reflecting a year-to-date deficit of 20.5% [3] Group 2: Competitive Landscape - Apple's Senior Vice President of Services, Eddy Cue, indicated that AI-driven engines like ChatGPT could potentially replace traditional search engines such as Google [1] - Apple is actively considering changes to its Safari web browser to prioritize AI, signaling a shift in competitive strategy [1] Group 3: Options Trading Activity - Options traders are heavily targeting Alphabet Inc, with 710,000 calls and 506,000 puts traded, which is quadruple the average volume [2] - The most popular options contracts include the weekly 5/9 155-strike call and the 150-strike put, indicating significant interest in the stock's future movements [2] - The Schaeffer's Volatility Index (SVI) for GOOGL is at 30%, ranking in the 21st percentile of its annual range, suggesting options are seen as an affordable way to speculate on the stock [2]