Alphabet (NASDAQ:GOOG) Given New $411.00 Price Target at Wells Fargo & Company

Key Points

• Wells Fargo lowered its price target on Alphabet from $418 to $411 while keeping an overweight rating, implying roughly 29.9% upside from the current share price.
• Alphabet’s latest quarterly results were strong, with EPS of $9.11 and revenue of $119.8 billion both topping expectations, while revenue rose 24.2% year over year.
• Despite the strong earnings, the stock fell 7.5% in Thursday trading amid mixed analyst target changes and concerns around heavy AI spending and cash burn.

Alphabet (NASDAQ:GOOG - Get Free Report) had its price objective decreased by stock analysts at Wells Fargo & Company from $418.00 to $411.00 in a research report issued on Thursday. The brokerage presently has an "overweight" rating on the information services provider's stock. Wells Fargo & Company's target price would suggest a potential upside of 29.93% from the stock's current price.

Several other research firms also recently weighed in on GOOG. Wolfe Research set a $460.00 price objective on shares of Alphabet in a report on Thursday. Morgan Stanley reduced their price target on shares of Alphabet from $415.00 to $400.00 and set an "overweight" rating for the company in a research report on Thursday. The Goldman Sachs Group reaffirmed a "buy" rating and set a $450.00 price objective on shares of Alphabet in a research report on Thursday, May 21st. Weiss Ratings reiterated a "buy (b)" rating on shares of Alphabet in a research note on Friday, July 17th. Finally, Raymond James Financial restated a "strong-buy" rating on shares of Alphabet in a research note on Thursday. Five analysts have rated the stock with a Strong Buy rating, thirty have assigned a Buy rating and four have assigned a Hold rating to the company's stock. According to data from MarketBeat, Alphabet has a consensus rating of "Buy" and an average price target of $408.27.

Alphabet Stock Down 7.5%

Shares of GOOG stock traded down $25.60 during mid-day trading on Thursday, reaching $316.31. 18,257,247 shares of the company were exchanged, compared to its average volume of 21,381,564. The company has a debt-to-equity ratio of 0.16, a quick ratio of 1.92 and a current ratio of 1.92. Alphabet has a fifty-two week low of $188.70 and a fifty-two week high of $404.47. The business's 50 day simple moving average is $363.69 and its 200 day simple moving average is $337.49. The company has a market capitalization of $3.83 trillion, a P/E ratio of 24.17, a P/E/G ratio of 1.43 and a beta of 1.23.

Alphabet (NASDAQ:GOOG - Get Free Report) last announced its earnings results on Thursday, July 23rd. The information services provider reported $9.11 earnings per share for the quarter, beating the consensus estimate of $2.88 by $6.23. The firm had revenue of $119.80 billion during the quarter, compared to the consensus estimate of $117.06 billion. Alphabet had a return on equity of 38.99% and a net margin of 37.92%.The firm's revenue for the quarter was up 24.2% compared to the same quarter last year. During the same quarter in the prior year, the company earned $2.31 EPS. Research analysts predict that Alphabet will post 14.34 earnings per share for the current year.

Insider Activity

In other news, Director Frances Arnold sold 112 shares of the firm's stock in a transaction that occurred on Tuesday, June 30th. The shares were sold at an average price of $351.28, for a total transaction of $39,343.36. Following the transaction, the director directly owned 18,833 shares in the company, valued at approximately $6,615,656.24. This trade represents a 0.59% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director John L. Hennessy sold 1,050 shares of the company's stock in a transaction on Monday, June 15th. The shares were sold at an average price of $368.63, for a total transaction of $387,061.50. Following the completion of the sale, the director owned 1,481 shares of the company's stock, valued at approximately $545,941.03. This trade represents a 41.49% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 159,415 shares of company stock worth $7,672,279 over the last ninety days. 12.99% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Alphabet

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Imprint Wealth LLC purchased a new position in Alphabet during the 3rd quarter worth $31,000. Nvest Wealth Strategies Inc. acquired a new stake in Alphabet during the 4th quarter valued at $38,000. Lifetime Wealth Management P.C. purchased a new position in shares of Alphabet during the 4th quarter worth about $38,000. Bard Associates Inc. acquired a new stake in Alphabet in the fourth quarter valued at approximately $41,000. Finally, Towne Trust Company N.A grew its holdings in shares of Alphabet by 34.0% during the fourth quarter. Towne Trust Company N.A now owns 134 shares of the information services provider's stock valued at $42,000 after purchasing an additional 34 shares during the last quarter. Hedge funds and other institutional investors own 27.26% of the company's stock.

Key Alphabet News

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Alphabet delivered a strong Q2 beat, with revenue, EPS, and cloud growth all topping expectations, reinforcing the strength of Search, YouTube, and Google Cloud. Google quarterly cloud revenue growth beats expectations
• Positive Sentiment: Google Cloud momentum and rising Gemini usage suggest Alphabet’s AI investments are beginning to show returns, which could support longer-term growth. Alphabet Beats on Cloud Revenue, Posts Strong Gemini Usage
• Positive Sentiment: Analyst sentiment remains constructive, with several firms maintaining buy ratings and raising price targets after the earnings report. Tickerreport.com
• Neutral Sentiment: Alphabet also announced new, cheaper Gemini model updates and work on efficiency-improving AI chips, which may help offset future infrastructure costs if execution improves. Google releases three new Gemini models — but no 3.5 Pro
• Negative Sentiment: Investors are worried Alphabet’s AI capex spree is getting too large, especially after the company raised spending guidance and reported negative free cash flow. Alphabet's cash burn raises alarm for Big Tech as AI spending climbs
• Negative Sentiment: Alphabet also faces added regulatory pressure after the EU hit Google with a roughly $1 billion antitrust fine over Search and Play Store practices. Google hit with $1 billion EU fine, first under landmark rules

About Alphabet

Alphabet Inc NASDAQ: GOOG is a multinational technology holding company headquartered in Mountain View, California. Formed in 2015 through a corporate restructuring of Google, Alphabet serves as the parent to Google LLC and a portfolio of businesses collectively known as "Other Bets." Google was originally founded in 1998 by Larry Page and Sergey Brin; Alphabet is led by CEO Sundar Pichai, who oversees Google and the broader company while the founders remain prominent shareholders and influential figures in the company's history.

Alphabet's core business centers on internet search and advertising, with Google Search and the company's ad platforms (including Google Ads and AdSense) generating the majority of revenue by connecting advertisers with consumers worldwide.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.