Alphabet Inc. (GOOG) Q2 Earnings and Revenues Top Estimates

Core Insights - Alphabet Inc. reported quarterly earnings of $5.12 per share, significantly exceeding the Zacks Consensus Estimate of $2.15 per share, marking an earnings surprise of +138.14% [1] - The company achieved revenues of $81.72 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 2.82% and showing a year-over-year increase from $71.36 billion [2] - Alphabet has consistently surpassed consensus EPS estimates over the last four quarters, indicating strong performance [2] Financial Performance - The earnings per share (EPS) for the previous year was $1.89, highlighting substantial growth in profitability [1] - The company has shown a positive trend in revenue estimates, with the current consensus EPS estimate for the upcoming quarter at $2.20 and $9.57 for the current fiscal year, with revenues projected at $82.63 billion and $329.15 billion respectively [7] Market Position - Despite the strong earnings report, Alphabet's shares have underperformed the S&P 500, gaining about 0.9% year-to-date compared to the S&P 500's 7.3% increase [3] - The Zacks Industry Rank places the Internet - Services sector in the bottom 24% of over 250 Zacks industries, suggesting potential challenges ahead for stocks in this category [8] Future Outlook - The sustainability of Alphabet's stock price movement will depend on management's commentary during the earnings call and future earnings expectations [3][4] - The mixed trend in estimate revisions prior to the earnings release has resulted in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6]