Archive · 24 Jul 2026
Alphabet Shares Fall Despite Earnings Beat
Alphabet, the parent company of Google, reported its second-quarter earnings.
The company made more money than expected, especially from its cloud services, which grew a lot.
However, the stock price went down because the company said it would spend a lot more money in the future.
The company's AI services, like Gemini, are doing well, but there are some concerns about competition.
Overall, the company is doing well, but investors are worried about the increased spending.
Alphabet reported $119.8 billion in revenue, beating Wall Street estimates.
Earnings per share (EPS) was $2.85, slightly lower than expected.
Capital expenditure guidance raised to $195 billion to $205 billion for 2026.
Google Cloud revenue grew by 82% to $24.77 billion.
Gemini App has 950 million monthly active users, with Gemini 4 in development.
- Who
- Alphabet Inc. (Google-parent)
- What
- Reported better-than-expected revenue but raised capex guidance, leading to a stock price drop.
- When
- Second quarter of 2024, reported on July 22, 2024.
- Where
- Global, with significant operations in the United States.
- Why
- Increased capital expenditure guidance and slightly lower EPS than expected, despite strong revenue growth.
Investor Concerns
Company Performance
Stock Performance
Investor Concerns
Investors are concerned about the increased capital expenditure guidance, leading to a drop in stock price.
Company Performance
The company reported better-than-expected revenue and strong growth in Google Cloud.
Earnings Per Share
Investor Concerns
EPS was slightly lower than Wall Street expectations.
Company Performance
Net income surged due to gains from investments in Anthropic and SpaceX.
AI Competition
Investor Concerns
There are concerns about the delay in the launch of Gemini 3.5 Pro.
Company Performance
Gemini App has 950 million monthly active users, and the company is already investing in Gemini 4.
- Revenue
- $119.8 billion
- Earnings Per Share (EPS)
- $2.85
- Capital Expenditure Guidance
- $195 billion to $205 billion
- Google Cloud Revenue
- $24.77 billion
- Gemini App Users
- 950 million monthly active users
- YouTube Revenue
- $11.1 billion
- Stock Performance
- Down 3.3% in extended trading
