Alphabet(GOOGL)2025-02-13 02:25Investment Rating - The report maintains a "Buy" rating for Alphabet with a target price raised to $226, reflecting a potential upside of approximately 21% from the current price of $186.5 [1][4][5] Core Insights - Alphabet's cloud business growth has slowed, but its advertising segment remains robust. The company reported Q4 2024 revenue of $96.47 billion, a 12% year-over-year increase, and a net profit of $26.54 billion, up 28% year-over-year, exceeding market expectations [1][2] - The core advertising business showed solid growth, with search ad revenue increasing by 13% and YouTube ad revenue by 14%. However, Google Cloud's growth rate has decelerated, with a 30% year-over-year revenue increase compared to 35% in the previous quarter [1][2] - The company plans to continue investing in AI and cloud computing, with capital expenditures expected to rise to $75 billion by 2025 [1] Financial Projections - The updated revenue forecast for 2025 is $387.22 billion, a slight decrease of 0.7% from the previous estimate. The net profit forecast for 2025 has been raised to $106.12 billion, reflecting a 4.8% increase [3] - Key financial metrics for 2025 include a gross profit of $225.85 billion and a net profit margin of 27.4% [3]