From Nasdaq: 2025-02-08 04:20:00

Alphabet’s stock prices dropped 8.4% post-Q4 earnings, disappointing investors with cloud revenue growth. The tech giant plans to increase AI infrastructure spending. Google Cloud revenue grew 30% to $12 billion, with operating income soaring. Revenue from Google Search and YouTube rose, but Google’s Network ad business saw a decline.

Despite the market’s reaction, Alphabet’s quarter was solid. The company plans to invest heavily in AI infrastructure capex, impacting the stock price. With a forward P/E ratio of 20.8x, Alphabet is considered one of the cheapest tech stocks tied to AI. It’s a good long-term investment opportunity, despite short-term market fluctuations.

The Motley Fool Stock Advisor team identified 10 best stocks to buy now, with Alphabet not included. Their service has outperformed the S&P 500 since 2002. Consider investing in companies like Alphabet for long-term growth potential. Suzanne Frey from Alphabet is a board member at The Motley Fool. The Motley Fool has positions in and recommends Alphabet and Microsoft, providing valuable insights for investors.



Read more at Nasdaq: Alphabet Shares Tumble on Cloud Revenue Shortfall. Is This a Buying Opportunity for the Stock?