Alphabet (NASDAQ:GOOGL) Trading Down 2.4% - Time to Sell?

Key Points

• Alphabet's shares fell 2.4% to $207.72, experiencing a significant drop in trading volume compared to average sessions, indicating potential investor concern.
• Analysts are optimistic, with multiple upgrades to price targets, raising them between $205 and $220, and a strong consensus rating of "Moderate Buy."
• The company recently announced a quarterly dividend of $0.21 per share, which will be paid on September 15th, reflecting a modest annual yield of 0.4%.

Alphabet Inc. (NASDAQ:GOOGL - Get Free Report) shares traded down 2.4% on Tuesday . The stock traded as low as $207.37 and last traded at $207.72. 13,661,931 shares were traded during mid-day trading, a decline of 62% from the average session volume of 36,050,621 shares. The stock had previously closed at $212.91.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on the stock. Bank of America boosted their price target on shares of Alphabet from $210.00 to $217.00 and gave the stock a "buy" rating in a research report on Thursday, July 24th. Westpark Capital boosted their price objective on shares of Alphabet from $210.00 to $220.00 and gave the company a "buy" rating in a research report on Thursday, July 24th. Morgan Stanley boosted their price objective on shares of Alphabet from $185.00 to $205.00 and gave the company an "overweight" rating in a research report on Monday, July 21st. Citizens Jmp upgraded shares of Alphabet from a "market perform" rating to an "outperform" rating and set a $220.00 price objective on the stock in a research report on Friday, June 27th. Finally, Truist Financial reissued a "buy" rating and set a $200.00 target price on shares of Alphabet in a research note on Wednesday, July 2nd. Four equities research analysts have rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating and ten have issued a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $211.79.

Alphabet Stock Down 1.3%

The firm has a market capitalization of $2.54 trillion, a price-to-earnings ratio of 22.42, a P/E/G ratio of 1.43 and a beta of 1.01. The business has a 50 day simple moving average of $191.39 and a 200-day simple moving average of $174.16. The company has a debt-to-equity ratio of 0.07, a quick ratio of 1.90 and a current ratio of 1.90.

Alphabet (NASDAQ:GOOGL - Get Free Report) last issued its quarterly earnings data on Wednesday, July 23rd. The information services provider reported $2.31 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.15 by $0.16. The firm had revenue of $96.43 billion during the quarter, compared to the consensus estimate of $93.60 billion. Alphabet had a return on equity of 34.31% and a net margin of 31.12%. On average, equities analysts expect that Alphabet Inc. will post 8.9 EPS for the current year.

Alphabet Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Monday, September 8th will be given a dividend of $0.21 per share. This represents a $0.84 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date of this dividend is Monday, September 8th. Alphabet's dividend payout ratio (DPR) is presently 8.95%.

Insiders Place Their Bets

In related news, insider John Kent Walker sold 23,820 shares of the firm's stock in a transaction dated Monday, August 4th. The stock was sold at an average price of $194.70, for a total transaction of $4,637,754.00. Following the completion of the sale, the insider directly owned 42,999 shares of the company's stock, valued at approximately $8,371,905.30. This trade represents a 35.65% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director John L. Hennessy sold 600 shares of the firm's stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $203.79, for a total value of $122,274.00. Following the sale, the director directly owned 6,316 shares of the company's stock, valued at $1,287,137.64. The trade was a 8.68% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 254,710 shares of company stock valued at $47,225,230 over the last 90 days. Company insiders own 11.55% of the company's stock.

Hedge Funds Weigh In On Alphabet

Several institutional investors have recently bought and sold shares of the company. Guardian Wealth Management Inc. grew its position in shares of Alphabet by 242.9% during the first quarter. Guardian Wealth Management Inc. now owns 168 shares of the information services provider's stock worth $26,000 after buying an additional 119 shares in the last quarter. Financial Gravity Companies Inc. acquired a new position in shares of Alphabet during the second quarter worth about $31,000. IMA Advisory Services Inc. acquired a new position in shares of Alphabet during the first quarter worth about $28,000. von Borstel & Associates Inc. acquired a new position in shares of Alphabet during the first quarter worth about $28,000. Finally, NBZ Investment Advisors LLC grew its position in shares of Alphabet by 85.7% during the first quarter. NBZ Investment Advisors LLC now owns 195 shares of the information services provider's stock worth $30,000 after buying an additional 90 shares in the last quarter. 40.03% of the stock is owned by institutional investors and hedge funds.

About Alphabet

Alphabet Inc offers various products and platforms in the United States, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America. It operates through Google Services, Google Cloud, and Other Bets segments. The Google Services segment provides products and services, including ads, Android, Chrome, devices, Gmail, Google Drive, Google Maps, Google Photos, Google Play, Search, and YouTube.

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