Alphabet Inc. $GOOGL Stock: Jackson Square Capital LLC Grows Stake

Key Points

• Jackson Square Capital increased its Alphabet stake by 12% in the third quarter, bringing its holdings to 95,909 shares valued at approximately $33 million. Alphabet now represents about 5% of the firm’s portfolio, while institutional investors and hedge funds own 40.03% of the stock.
• Alphabet shares opened at $324.22, down 3.1%, but the company recently surpassed quarterly earnings and revenue expectations, reporting $9.11 in EPS and $119.80 billion in revenue.
• Analyst sentiment remains broadly positive, with a consensus “Buy” rating and average price target of $425.04. Google Cloud growth, AI infrastructure demand, Gemini, and in-house chips are viewed as important future growth drivers, although Citizens JMP recently lowered its target from $515 to $450.

Jackson Square Capital LLC increased its position in shares of Alphabet Inc. (NASDAQ:GOOGL - Free Report) by 12.0% during the 3rd quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 95,909 shares of the information services provider's stock after acquiring an additional 10,270 shares during the quarter. Alphabet comprises about 5.0% of Jackson Square Capital LLC's investment portfolio, making the stock its 4th largest position. Jackson Square Capital LLC's holdings in Alphabet were worth $33,000,000 at the end of the most recent reporting period.

Other large investors also recently added to or reduced their stakes in the company. EMC Capital Management bought a new stake in shares of Alphabet during the second quarter worth approximately $35,000. Core Capital Management & Research inc. acquired a new position in Alphabet in the second quarter valued at approximately $41,000. Intelligent Financial Strategies bought a new position in Alphabet in the third quarter valued at approximately $41,000. Premier Financial Group bought a new position in Alphabet in the second quarter valued at approximately $45,000. Finally, Graney & King LLC boosted its stake in Alphabet by 38.5% in the second quarter. Graney & King LLC now owns 180 shares of the information services provider's stock valued at $64,000 after acquiring an additional 50 shares during the last quarter. 40.03% of the stock is currently owned by institutional investors and hedge funds.

Alphabet Stock Down 3.1%

Shares of NASDAQ GOOGL opened at $324.22 on Friday. Alphabet Inc. has a 52-week low of $251.85 and a 52-week high of $408.61. The company has a debt-to-equity ratio of 0.16, a quick ratio of 2.64 and a current ratio of 2.72. The stock has a market cap of $3.97 trillion, a P/E ratio of 16.28, a P/E/G ratio of 0.97 and a beta of 1.21. The firm has a 50 day moving average price of $343.31 and a 200 day moving average price of $353.04.

Alphabet (NASDAQ:GOOGL - Get Free Report) last posted its earnings results on Wednesday, July 22nd. The information services provider reported $9.11 earnings per share for the quarter, topping the consensus estimate of $2.89 by $6.22. The company had revenue of $119.80 billion for the quarter, compared to analyst estimates of $117.07 billion. Alphabet had a net margin of 54.77% and a return on equity of 51.32%. Analysts expect that Alphabet Inc. will post 20.60 EPS for the current year.

Key Stories Impacting Alphabet

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Google Cloud and AI demand remain key bullish factors. Coverage highlights accelerating Google Cloud growth, expanding demand for AI infrastructure, and Alphabet’s Gemini models and in-house chips as potential drivers of future revenue and margins. OpenAI’s decision to make its models available through Google Cloud could also increase enterprise cloud usage. OpenAI to bring AI models to Google's cloud
• Positive Sentiment: Some analysts see substantial upside. Bullish commentary points to strong search and cloud fundamentals, a lower valuation than many large technology peers, and potential upside if Alphabet demonstrates that AI spending is translating into durable growth. TikTok’s reported shift of advertising toward YouTube may provide an additional, though smaller, benefit. Alphabet could still have room to run
• Positive Sentiment: Citizens JMP maintained an outperform rating. The firm lowered its price target from $515 to $450, but the revised target still implies considerable potential appreciation from current levels. Banking giant cuts Google stock price target

Insider Activity at Alphabet

In related news, CAO Marsida Saraci sold 449 shares of the company's stock in a transaction on Wednesday, July 29th. The shares were sold at an average price of $333.20, for a total value of $149,606.80. Following the completion of the sale, the chief accounting officer owned 27,386 shares in the company, valued at $9,125,015.20. This represents a 1.61% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Frances Arnold sold 83 shares of Alphabet stock in a transaction dated 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 in the company, valued at approximately $6,494,424.20. This represents a 0.43% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 315,765 shares of company stock worth $6,297,980 in the last quarter. Corporate insiders own 11.61% of the company's stock.

Wall Street Analyst Weigh In

GOOGL has been the subject of a number of analyst reports. BMO Capital Markets reaffirmed an "outperform" rating and set a $480.00 target price (up from $465.00) on shares of Alphabet in a report on Tuesday. Citizens Jmp cut their price target on Alphabet from $515.00 to $450.00 and set a "market outperform" rating on the stock in a research note on Thursday. Evercore restated an "outperform" rating and issued a $450.00 price target on shares of Alphabet in a research report on Wednesday, September 16th. Wall Street Zen cut Alphabet from a "buy" rating to a "hold" rating in a research note on Saturday, August 1st. Finally, Weiss Ratings reiterated a "buy (b)" rating on shares of Alphabet in a report on Thursday, October 15th. Five analysts have rated the stock with a Strong Buy rating, forty-seven have given a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Buy" and a consensus target price of $425.04.

Alphabet Profile

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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