Alphabet’s Pullback Just Opened a Window for Smart Investors
From Nasdaq: 2025-02-19 08:23:00
Alphabet Inc. (NASDAQ: GOOGL) recently hit an all-time high but experienced a 10% decline post-earnings, creating a potential buying opportunity. Despite a revenue miss, the company saw record-breaking revenue, driven by a 30% surge in Google Cloud growth. Analysts remain bullish, with price targets suggesting a 25% upside.
Alphabet’s February earnings report showed strong ad revenue and accelerating cloud growth, reaffirming its market leader status. CEO Sundar Pichai highlighted the company’s AI initiatives, expected to drive significant revenue expansion. Despite the revenue miss, Alphabet demonstrated the ability to scale its key business segments.
Analysts remain confident in Alphabet’s long-term trajectory, with some trimming price targets due to valuation concerns. DZ Bank downgraded the stock from Buy to Hold, waiting to see if Alphabet can reaccelerate revenue growth. The current technical setup signals an attractive buying opportunity, with potential for a rebound towards February highs.
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