Alphabet Inc. $GOOGL Shares Sold by DSG Capital Advisors LLC

Key Points

• DSG Capital Advisors LLC trimmed its Alphabet stake by 1.4% in the first quarter, selling 1,591 shares and leaving it with 108,254 shares worth about $31.1 million. Alphabet remained the firm’s fourth-largest position, making up roughly 5% of its portfolio.
• Alphabet posted strong Q1 results, reporting EPS of $5.11 versus analyst expectations of $2.64 and revenue of $109.9 billion, topping forecasts. Analysts still expect the company to generate 14.32 EPS for the full year.
• Wall Street remains broadly positive on GOOGL, with multiple firms raising or reaffirming buy ratings and the average target price sitting at $413.92. Alphabet also raised its quarterly dividend to $0.22 per share, though the yield remains modest at 0.2%.

DSG Capital Advisors LLC cut its holdings in shares of Alphabet Inc. (NASDAQ:GOOGL - Free Report) by 1.4% in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 108,254 shares of the information services provider's stock after selling 1,591 shares during the period. Alphabet comprises approximately 5.0% of DSG Capital Advisors LLC's investment portfolio, making the stock its 4th biggest position. DSG Capital Advisors LLC's holdings in Alphabet were worth $31,130,000 at the end of the most recent quarter.

Other large investors have also recently modified their holdings of the company. CIBC Bancorp USA Inc. acquired a new stake in Alphabet in the third quarter valued at approximately $416,217,000. NewEdge Wealth LLC increased its holdings in shares of Alphabet by 11.8% during the fourth quarter. NewEdge Wealth LLC now owns 887,209 shares of the information services provider's stock worth $277,696,000 after buying an additional 93,293 shares in the last quarter. World Investment Advisors boosted its holdings in shares of Alphabet by 9.2% during the 4th quarter. World Investment Advisors now owns 274,761 shares of the information services provider's stock valued at $86,000,000 after acquiring an additional 23,107 shares in the last quarter. Retail Employees Superannuation Pty Ltd as trustee for Retail Employees Superannuation Trust acquired a new stake in shares of Alphabet during the 4th quarter valued at $28,902,000. Finally, Berkshire Hathaway Inc bought a new stake in Alphabet during the 3rd quarter worth $4,338,397,000. Institutional investors and hedge funds own 40.03% of the company's stock.

Alphabet Trading Down 0.5%

NASDAQ GOOGL opened at $357.18 on Friday. The firm has a market capitalization of $4.33 trillion, a PE ratio of 27.24, a price-to-earnings-growth ratio of 1.53 and a beta of 1.24. The business's 50-day moving average price is $372.61 and its two-hundred day moving average price is $336.44. The company has a current ratio of 1.92, a quick ratio of 1.92 and a debt-to-equity ratio of 0.16. Alphabet Inc. has a 12 month low of $176.48 and a 12 month high of $408.61.

Alphabet (NASDAQ:GOOGL - Get Free Report) last issued its quarterly earnings data on Wednesday, April 29th. The information services provider reported $5.11 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.64 by $2.47. The company had revenue of $109.90 billion during the quarter, compared to the consensus estimate of $106.98 billion. Alphabet had a return on equity of 38.99% and a net margin of 37.92%. On average, analysts expect that Alphabet Inc. will post 14.32 EPS for the current year.

Alphabet Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, June 15th. Shareholders of record on Monday, June 8th were issued a dividend of $0.22 per share. This represents a $0.88 annualized dividend and a yield of 0.2%. The ex-dividend date was Monday, June 8th. This is a positive change from Alphabet's previous quarterly dividend of $0.21. Alphabet's dividend payout ratio (DPR) is 6.71%.

Key Stories Impacting Alphabet

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: KeyCorp raised its price target on Alphabet to $445 from $425 and kept an overweight rating, reinforcing the view that the stock still has meaningful upside from current levels.
• Positive Sentiment: Multiple upbeat articles highlighted Alphabet as a leading AI and cloud beneficiary, with commentary pointing to strong distribution through Search, Android, YouTube, Google Cloud, and chips as reasons it could monetize AI better than peers.
• Positive Sentiment: New coverage argued Alphabet looks undervalued after a big run over the past year, while other pieces said the company remains one of the most attractive megacap tech names on a risk/reward basis.
• Positive Sentiment: Zacks and other market commentators continued to include GOOGL among cloud and internet stocks positioned to benefit from AI-driven data center spending and digital demand growth.
• Positive Sentiment: Business and tech commentary also pointed to product and platform strengths, including Google Search setting records during the World Cup and Waymo planning more driverless-car expansion, which support the long-term growth narrative.
• Neutral Sentiment: Alphabet said it will begin disclosing which ads are generated with AI, a transparency move that may help trust and compliance but is unlikely to materially change near-term earnings.
• Neutral Sentiment: Britain moved to regulate Google as a critical cloud supplier to protect financial stability; the change adds oversight, but it also underscores the importance of Google Cloud rather than signaling a fundamental business setback.
• Neutral Sentiment: Reuters reported that Google is appealing an Indian ads-related trademark ruling, a legal issue that could create some noise but does not yet appear to be a major stock-moving event.
• Neutral Sentiment: Recent short-interest data was effectively flat at zero shares reported, offering little actionable signal for traders.
• Negative Sentiment: One Reuters-linked report said Google and OpenAI provided AI services to Singapore-based subsidiaries of Chinese groups on the Pentagon blacklist, which could raise regulatory scrutiny and geopolitical concerns.
• Negative Sentiment: Technical commentary noted Alphabet is testing a key resistance zone after a recovery, suggesting the stock may need a fresh catalyst to extend its move higher.

Insider Activity

In other news, major shareholder 2019 Gp L.L.C. Gv sold 87,475 shares of the stock in a transaction on Friday, May 15th. The shares were sold at an average price of $23.75, for a total transaction of $2,077,531.25. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider John Kent Walker sold 8,998 shares of the stock in a transaction on Monday, June 29th. The stock was sold at an average price of $349.29, for a total transaction of $3,142,911.42. Following the sale, the insider owned 75,290 shares of the company's stock, valued at approximately $26,298,044.10. This trade represents a 10.68% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 160,465 shares of company stock worth $8,020,511. 11.61% of the stock is owned by insiders.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on the company. BNP Paribas Exane upped their target price on Alphabet from $390.00 to $420.00 and gave the stock an "outperform" rating in a report on Thursday, April 30th. HSBC reissued a "buy" rating and set a $420.00 price target (down from $435.00) on shares of Alphabet in a research note on Tuesday, June 2nd. Barclays reaffirmed a "buy" rating on shares of Alphabet in a research note on Friday, May 29th. Guggenheim reiterated a "buy" rating and issued a $450.00 price objective (up from $375.00) on shares of Alphabet in a report on Thursday, April 30th. Finally, Jefferies Financial Group reiterated a "buy" rating on shares of Alphabet in a research report on Monday, June 22nd. Two equities research analysts have rated the stock with a Strong Buy rating, forty-seven have assigned a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $413.92.

Alphabet Profile

Alphabet Inc is the holding company created in 2015 to organize Google and a portfolio of businesses developing technologies beyond Google's core internet services. Its principal operations are led by Google, which builds and operates consumer-facing products such as Google Search, YouTube, Android, Chrome, Gmail, Google Maps and Google Workspace, as well as advertising platforms (Google Ads and AdSense) that historically generate the majority of its revenue. Google also develops consumer hardware (Pixel phones, Nest smart-home devices, Chromecast) and developer and distribution platforms such as Google Play.

Beyond Google's consumer and advertising businesses, Alphabet invests in enterprise and infrastructure offerings through Google Cloud, which provides cloud computing, data analytics and productivity services to businesses and institutions.

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