Alphabet Inc. $GOOGL Shares Sold by Convergence Financial LLC

Key Points

• Convergence Financial cut its Alphabet stake by 49.7% in the third quarter, selling 26,795 shares and retaining 27,134 shares worth about $9.34 million.
• Alphabet shares opened at $282.57, down 2.2%; its latest quarterly results missed analyst expectations, with EPS of $2.12 versus $3.02 expected and revenue of $127.58 billion versus $127.96 billion forecast.
• Analysts remain broadly positive, with a consensus “Buy” rating and $412.51 price target, while news coverage highlights significant AI infrastructure investment and concerns about pressure on cash flow and margins.

Convergence Financial LLC lessened its holdings in shares of Alphabet Inc. (NASDAQ:GOOGL - Free Report) by 49.7% during the 3rd quarter, according to its most recent disclosure with the SEC. The fund owned 27,134 shares of the information services provider's stock after selling 26,795 shares during the period. Alphabet accounts for about 1.3% of Convergence Financial LLC's portfolio, making the stock its 20th largest position. Convergence Financial LLC's holdings in Alphabet were worth $9,336,000 as of its most recent SEC filing.

Other large investors also recently made changes to their positions in the company. Conning Inc. increased its stake in shares of Alphabet by 3.1% in the third quarter. Conning Inc. now owns 38,257 shares of the information services provider's stock valued at $13,163,000 after buying an additional 1,134 shares in the last quarter. Petersen Hastings Wealth Advisors Inc. raised its holdings in shares of Alphabet by 2.6% in the third quarter. Petersen Hastings Wealth Advisors Inc. now owns 1,434 shares of the information services provider's stock valued at $493,000 after buying an additional 37 shares during the last quarter. AMI Investment Management Inc. raised its holdings in shares of Alphabet by 116.4% in the third quarter. AMI Investment Management Inc. now owns 2,073 shares of the information services provider's stock valued at $713,000 after buying an additional 1,115 shares during the last quarter. Sigma Investment Counselors Inc. lifted its position in Alphabet by 9.5% during the 3rd quarter. Sigma Investment Counselors Inc. now owns 36,216 shares of the information services provider's stock worth $12,461,000 after buying an additional 3,143 shares in the last quarter. Finally, Parametrica Management Ltd lifted its position in Alphabet by 15.4% during the 3rd quarter. Parametrica Management Ltd now owns 32,799 shares of the information services provider's stock worth $11,285,000 after buying an additional 4,367 shares in the last quarter. Institutional investors own 40.03% of the company's stock.

Trending Headlines about Alphabet

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Google plans to invest $17 billion in a Wyoming data center, adding capacity to serve AI demand. Google’s credit backstop for Anthropic’s $19 billion TeraWulf data-center lease may also help secure future AI infrastructure. The commitments support growth, though they require substantial capital. Alphabet's Google Plans $17 Billion Investment in Wyoming Data Center
• Neutral Sentiment: Google, Meta and TikTok sued California to block a law restricting features considered addictive for users under 16. A successful challenge could limit regulatory constraints, but the outcome is uncertain and the dispute adds scrutiny of social-media practices. Meta, Google, and TikTok sue California AG over teen social media law
• Negative Sentiment: Investors remain concerned that AI infrastructure spending is pressuring free cash flow and margins. The $17 billion Wyoming project reinforces Google’s growth ambitions but could intensify worries about the scale and payoff of capital spending. Alphabet's Free Cash Flow Is Declining Faster Than Analysts Expected
• Negative Sentiment: A new lawsuit alleges a student used Google AI on a school Chromebook while planning a suicide attempt. The allegations are unproven, but the case could heighten reputational, product-safety and legal risks amid broader concerns about children’s online safety. Google faces claims student used AI chat on US school laptop to plan suicide attempt
• Negative Sentiment: Google has drawn backlash over a policy that would deny Search access to schools that restrict its AI tools, potentially damaging trust and inviting further scrutiny. Separately, law firms are publicizing a securities class action alleging misleading statements about Gemini 3.5 Pro; the claims are allegations, not findings, but add legal overhang. Google faces backlash for plan that would turn off Search for schools that restrict AI

Analysts Set New Price Targets

A number of brokerages have commented on GOOGL. Cantor Fitzgerald decreased their price objective on shares of Alphabet from $420.00 to $350.00 and set an "overweight" rating on the stock in a report on Thursday, October 29th. Citizens Jmp downgraded shares of Alphabet from a "market outperform" rating to a "hold" rating in a research note on Thursday, October 29th. Wall Street Zen downgraded shares of Alphabet from a "buy" rating to a "hold" rating in a research note on Saturday, August 1st. Citigroup reduced their target price on shares of Alphabet from $447.00 to $375.00 and set a "buy" rating on the stock in a research report on Friday, October 30th. Finally, UBS Group set a $332.00 price target on shares of Alphabet and gave the company a "neutral" rating in a research note on Thursday, October 29th. Five investment analysts have rated the stock with a Strong Buy rating, forty-five have given a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat, Alphabet currently has a consensus rating of "Buy" and a consensus price target of $412.51.

Alphabet Stock Down 2.2%

Shares of NASDAQ:GOOGL opened at $282.57 on Friday. Alphabet Inc. has a one year low of $270.70 and a one year high of $408.61. The company has a 50 day moving average of $334.04 and a 200-day moving average of $339.15. The company has a debt-to-equity ratio of 0.19, a current ratio of 2.79 and a quick ratio of 2.69. The stock has a market cap of $3.46 trillion, a price-to-earnings ratio of 14.75, a P/E/G ratio of 0.87 and a beta of 1.23.

Alphabet (NASDAQ:GOOGL - Get Free Report) last announced its quarterly earnings data on Wednesday, October 28th. The information services provider reported $2.12 earnings per share for the quarter, missing the consensus estimate of $3.02 by ($0.90). Alphabet had a net margin of 50.03% and a return on equity of 43.33%. The business had revenue of $127.58 billion during the quarter, compared to analyst estimates of $127.96 billion. On average, sell-side analysts forecast that Alphabet Inc. will post 19.86 earnings per share for the current year.

Alphabet Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, December 14th. Shareholders of record on Monday, December 7th will be given a dividend of $0.22 per share. The ex-dividend date is Monday, December 7th. This represents a $0.88 annualized dividend and a dividend yield of 0.3%. Alphabet's payout ratio is presently 4.59%.

Insider Activity at Alphabet

In other news, Director Frances Arnold sold 83 shares of the stock in a transaction on Wednesday, September 30th. The stock was sold at an average price of $340.45, for a total value of $28,257.35. Following the transaction, the director owned 19,076 shares of the company's stock, valued at $6,494,424.20. This represents a 0.43% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. In the last three months, insiders have sold 247 shares of company stock worth $79,238. Insiders own 11.61% of the company's stock.

About Alphabet

Alphabet Inc is a technology holding company best known for its Google subsidiary. Google operates a global internet-services business centered on online search, digital advertising, YouTube, Android, Chrome, Google Maps, Google Play, and a broad range of cloud-based productivity and collaboration tools.

Google Cloud provides infrastructure, data analytics, cybersecurity, artificial intelligence, and enterprise software services to businesses, governments, and other organizations. Alphabet also develops consumer hardware, including Pixel devices and products for connected homes, while investing in emerging businesses through its “Other Bets” segment, including autonomous transportation and life sciences initiatives.

Alphabet was established in 2015 as part of a corporate restructuring that made Google a subsidiary and provided a separate structure for its expanding portfolio of businesses.

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