Advisory Alpha LLC Grows Stock Position in Alphabet Inc. $GOOG

Key Points

• Advisory Alpha LLC increased its Alphabet stake by 11.8% in the fourth quarter, adding 3,814 shares to bring its total to 36,196 shares valued at about $11.36 million.
• Alphabet posted strong quarterly results, with earnings of $5.11 per share topping estimates and revenue rising 21.8% year over year to $109.9 billion, while the company also raised its quarterly dividend to $0.22 per share.
• Analysts remain broadly bullish on GOOG, with a consensus rating of “Buy” and a target price of $372.65, even as some insiders recently sold shares and the stock traded above that level at $376.43.

Advisory Alpha LLC raised its holdings in Alphabet Inc. (NASDAQ:GOOG - Free Report) by 11.8% in the fourth quarter, according to the company in its most recent disclosure with the SEC. The fund owned 36,196 shares of the information services provider's stock after buying an additional 3,814 shares during the quarter. Advisory Alpha LLC's holdings in Alphabet were worth $11,359,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the business. Nvest Wealth Strategies Inc. purchased a new position in shares of Alphabet in the fourth quarter worth about $38,000. Imprint Wealth LLC acquired a new position in Alphabet in the 3rd quarter worth about $31,000. Towne Trust Company N.A increased its position in shares of Alphabet by 34.0% in the fourth quarter. Towne Trust Company N.A now owns 134 shares of the information services provider's stock valued at $42,000 after buying an additional 34 shares in the last quarter. Creative Capital Management Investments LLC increased its position in shares of Alphabet by 1,438.5% in the fourth quarter. Creative Capital Management Investments LLC now owns 200 shares of the information services provider's stock valued at $63,000 after buying an additional 187 shares in the last quarter. Finally, Optima Capital LLC purchased a new stake in shares of Alphabet in the fourth quarter valued at approximately $79,000. 27.26% of the stock is currently owned by hedge funds and other institutional investors.

Alphabet Stock Performance

Shares of Alphabet stock opened at $376.43 on Monday. Alphabet Inc. has a 52 week low of $163.33 and a 52 week high of $404.47. The business's fifty day simple moving average is $343.28 and its 200-day simple moving average is $324.54. The firm has a market cap of $4.56 trillion, a PE ratio of 28.71, a price-to-earnings-growth ratio of 1.61 and a beta of 1.23. The company has a quick ratio of 1.92, a current ratio of 1.92 and a debt-to-equity ratio of 0.16.

Alphabet (NASDAQ:GOOG - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The information services provider reported $5.11 EPS for the quarter, beating the consensus estimate of $2.68 by $2.43. Alphabet had a return on equity of 38.99% and a net margin of 37.92%.The business had revenue of $109.90 billion for the quarter, compared to analyst estimates of $106.96 billion. During the same quarter in the prior year, the company posted $2.81 EPS. The company's quarterly revenue was up 21.8% on a year-over-year basis. Equities analysts forecast that Alphabet Inc. will post 14.29 earnings per share for the current year.

Alphabet Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, June 15th. Stockholders of record on Monday, June 8th will be paid a $0.22 dividend. This is a boost from Alphabet's previous quarterly dividend of $0.21. The ex-dividend date of this dividend is Monday, June 8th. This represents a $0.88 annualized dividend and a dividend yield of 0.2%. Alphabet's dividend payout ratio is currently 6.41%.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on GOOG shares. TD Cowen reaffirmed a "buy" rating on shares of Alphabet in a research note on Thursday, May 21st. Phillip Securities lowered Alphabet from a "strong-buy" rating to a "moderate buy" rating in a research note on Wednesday, April 15th. Truist Financial set a $385.00 price target on Alphabet in a research note on Wednesday, April 22nd. BMO Capital Markets reaffirmed an "outperform" rating and issued a $400.00 price target on shares of Alphabet in a research note on Thursday, February 5th. Finally, Oppenheimer lifted their price target on Alphabet from $425.00 to $445.00 and gave the stock an "outperform" rating in a research note on Friday, May 15th. Six research analysts have rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating and four have given a Hold rating to the company. According to data from MarketBeat.com, Alphabet presently has a consensus rating of "Buy" and a consensus target price of $372.65.

Insiders Place Their Bets

In related news, major shareholder 2019 Gp L.L.C. Gv sold 87,475 shares of the business's stock in a transaction on Friday, May 15th. The stock was sold at an average price of $23.75, for a total value of $2,077,531.25. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, Director John L. Hennessy sold 1,050 shares of the business's stock in a transaction on Friday, May 15th. The shares were sold at an average price of $393.26, for a total value of $412,923.00. Following the completion of the sale, the director owned 2,531 shares in the company, valued at $995,341.06. This represents a 29.32% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 226,369 shares of company stock worth $27,388,127. Corporate insiders own 12.99% of the company's stock.

Key Headlines Impacting Alphabet

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Google Cloud delivered a standout Q1 result, with revenue up 63% to $20 billion, margin reaching 32.9%, and backlog rising to $462 billion. That reinforces Alphabet’s growing second engine beyond search and supports the bull case for further upside. GOOGL Rides on Surging Google Cloud Demand: More Upside Ahead?
• Positive Sentiment: Google Cloud is also getting validation from new enterprise partnerships, including EQT’s rollout to help more than 300 portfolio companies adopt AI using Google Cloud tools. Private equity firm EQT partners with Google Cloud for AI rollout
• Positive Sentiment: Waymo news continues to suggest Alphabet’s autonomous-driving business may be undervalued, with the new Ojai robotaxi designed to lower fleet costs and expand capacity. That strengthens the long-term optionality in Alphabet’s non-advertising businesses. Waymo opens Ojai robotaxis to select riders as company aims to lower cost of fleet
• Positive Sentiment: Commentary from Jim Cramer was supportive, calling Alphabet a “crucial position” and saying “there’s a lot to like here,” which can help reinforce bullish sentiment among retail investors. Jim Cramer on Alphabet: “There’s a Lot to Like Here”
• Neutral Sentiment: Shares were also mentioned in analyst-style and market commentary framing Alphabet as a core AI and cloud beneficiary, but these pieces were largely reiterations rather than new catalysts.
• Negative Sentiment: An Indian court ruling on keyword ads could increase trademark and legal risk for Google’s search advertising business, raising concerns about a core profit driver. Indian court ruling on Google keyword ads could reshape online advertising
• Negative Sentiment: News that a Google engineer was charged in a $1.2 million Polymarket insider-trading case may create a modest reputational overhang, even though it is not a direct business or financial issue for Alphabet. US charges Google engineer with insider trading on Polymarket

Alphabet Company Profile

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.

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