Here’s What Impacted Alphabet (GOOG) in Q2

Group 1: Fund Performance - Mairs & Power Balanced Fund returned 2.66% in the first half of 2025, underperforming benchmark composite indexes which were up 5.43% and the Morningstar Moderate Allocation peer group which rose 5.67% [1] - The quarter started with significant challenges including tariff uncertainty, conflicts in the Middle East, and rising national debt, but the fund managed to recover and rise 25% from its low by the end of the quarter [1] Group 2: Alphabet Inc. (NASDAQ:GOOG) Overview - Alphabet Inc. achieved a revenue of $96.4 billion in Q2 2025, representing a 14% increase compared to Q2 2024 [4] - The stock of Alphabet Inc. closed at $252.34 per share on September 23, 2025, with a market capitalization of $3.047 trillion [2] Group 3: Investment Sentiment and Strategy - Concerns are rising regarding the impact of generative AI on Alphabet's search business, leading to a reduction in the fund's holdings in Alphabet as part of a transition to Amazon [3] - Despite Alphabet's potential, the fund believes certain AI stocks offer greater upside potential and carry less downside risk [4]