Core Insights - Alphabet's stock closed at $312.43, reflecting a -2.43% change from the previous day, underperforming the S&P 500's 0.21% gain [1] - Over the past month, Alphabet's shares have increased by 11.68%, significantly outperforming the Computer and Technology sector's gain of 2.05% and the S&P 500's gain of 0.89% [1] Financial Projections - The upcoming EPS for Alphabet is projected at $2.58, indicating a 20.00% increase year-over-year [2] - Revenue is anticipated to reach $94.26 billion, representing a 15.49% increase compared to the same quarter last year [2] Annual Estimates - For the annual period, earnings are expected to be $10.52 per share, with revenue projected at $340.26 billion, reflecting increases of +30.85% and +15.3% respectively from the previous year [3] - Recent analyst estimate revisions indicate a positive outlook for Alphabet's business and profitability [3] Stock Performance and Valuation - The Zacks Rank system, which evaluates estimate changes, currently ranks Alphabet at 3 (Hold) [5] - Alphabet's Forward P/E ratio stands at 30.44, which is a premium compared to the industry average of 19.81 [5] - The PEG ratio for Alphabet is currently 1.85, closely aligning with the industry average PEG ratio of 1.86 [6] Industry Context - The Internet - Services industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 85, placing it in the top 35% of over 250 industries [6] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]

Core Viewpoint - Alphabet (GOOGL) has shown a positive stock performance recently, with a return of +5.9% over the past month, outperforming the S&P 500 composite's +5.4% and the Zacks Internet - Services industry's +4.9% [1] Earnings Estimates Revisions - For the current quarter, Alphabet is expected to report earnings of $2.14 per share, reflecting a +13.2% change year-over-year, with the Zacks Consensus Estimate having increased by +1.3% in the last 30 days [4] - The consensus earnings estimate for the current fiscal year stands at $9.57, indicating a +19% change from the previous year, with a slight increase of +0.4% over the last month [4] - For the next fiscal year, the consensus estimate is $10.23, showing a +6.9% change from the prior year, although this estimate has decreased by -0.5% recently [5] Revenue Growth Forecast - The consensus sales estimate for the current quarter is $79.25 billion, representing an +11.1% year-over-year change [10] - For the current fiscal year, the sales estimate is $328.14 billion, indicating a +11.2% change, while the next fiscal year's estimate of $363.32 billion reflects a +10.7% change [10] Last Reported Results and Surprise History - Alphabet reported revenues of $76.49 billion in the last quarter, a +13.2% year-over-year increase, with an EPS of $2.81 compared to $1.89 a year ago [11] - The company exceeded the Zacks Consensus Estimate for revenues by +1.27% and for EPS by +39.11% [11] - Alphabet has consistently beaten consensus EPS and revenue estimates over the last four quarters [12] Valuation - Alphabet's valuation metrics, including price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), are essential for assessing whether the stock is fairly valued [13][14] - The Zacks Value Style Score grades Alphabet as a C, indicating it is trading at par with its peers [16] Conclusion - The information presented suggests that Alphabet may perform in line with the broader market in the near term, as indicated by its Zacks Rank 3 [17]

Core Viewpoint - Alphabet's stock performance has lagged behind major indices, and upcoming earnings are anticipated to show moderate growth in both earnings per share and revenue [1][2][3]. Company Performance - Alphabet's stock closed at $157.04, reflecting a slight decline of -0.02% from the previous day, underperforming the S&P 500, which gained 0.67% [1]. - Over the past month, Alphabet's stock has decreased by 8.1%, compared to a loss of 7.99% in the Computer and Technology sector and a 5.28% loss in the S&P 500 [1]. Upcoming Earnings - Alphabet is projected to report earnings of $2.02 per share, representing a year-over-year growth of 6.88% [2]. - The consensus estimate for revenue is $75.66 billion, indicating an 11.93% increase compared to the same quarter last year [2]. Full-Year Estimates - The full-year Zacks Consensus Estimates for Alphabet are earnings of $8.92 per share and revenue of $329.94 billion, reflecting year-over-year changes of +10.95% and +11.8%, respectively [3]. Analyst Estimates - Changes in analyst estimates for Alphabet are important as they reflect short-term business trends, with positive revisions indicating optimism about the company's outlook [4]. - The Zacks Rank system, which considers estimate changes, currently ranks Alphabet as 3 (Hold) [6]. Valuation Metrics - Alphabet's Forward P/E ratio is 17.61, which is lower than the industry's Forward P/E of 25.03, indicating a valuation discount [6]. - The current PEG ratio for Alphabet is 1.13, compared to the industry average of 1.32 [7]. Industry Context - The Internet - Services industry, part of the Computer and Technology sector, has a Zacks Industry Rank of 140, placing it in the bottom 44% of all industries [8].