From NASDAQ: 2024-05-06 19:33:56

Alphabet stock surged over 10% post Q1 earnings announcement, solidifying confidence with an effortless beat. Revenues reached $80.5 billion, exceeding estimates by $1.84 billion, with EPS at $1.89 surpassing by $0.38. Google Search and YouTube Ads saw strong growth, with Google Cloud contributing to profit margin expansion.

Alphabet’s Q1 success was driven by AI-powered advertising solutions, enhancing ad relevance and boosting revenues. Google Cloud saw revenues grow by 28% to $9.6 billion, with operating margin expansion to 9.4%. The introduction of AI solutions such as P-Max is expected to drive increased advertiser adoption and revenue growth.

Following strong Q1 results, Alphabet stock reached all-time highs but remains attractively priced. Consensus EPS estimates imply nearly 30% growth year-over-year, with shares trading at 22.2x projected EPS. Analysts maintain a Strong Buy rating with a price target of $189.79, suggesting 12.9% upside potential. Leading analysts predict further success for Alphabet stock.



Read more at NASDAQ: I Keep Buying Alphabet Stock (NASDAQ:GOOGL), Post Q1 Rally; Here’s Why