Alphabet Earnings Beat: An Undervalued Tech Behemoth
From Nasdaq: 2025-04-25 13:02:00
Alphabet (GOOGL) is a top investment opportunity in tech, with Q1 2025 revenue hitting $90.2 billion, a 12% increase YoY. Google Search & Other revenue rose 10% to $50.7 billion, and Google Cloud revenue surged 28% to $12.3 billion. The stock trades at a low forward earnings multiple of 18.3x, presenting a bargain for investors.
CEO Sundar Pichai announced a 5% dividend increase and a $70 billion share repurchase program. Alphabet invested $17.2 billion in Q1 and plans to invest $75 billion in AI infrastructure for the year. Waymo, Alphabet’s autonomous driving unit, is thriving in a partnership with Uber, running hundreds of thousands of rides per week.
Alphabet stock may have hit a long-term bottom, with strong support near 2021 highs. A bullish reversal pattern suggests potential bottoming behavior, making it a good time to consider owning GOOGL shares. Despite regulatory concerns, Alphabet’s core business, Google Search, continues to dominate, while Google Cloud and Waymo show promising growth.
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