Diversified Management Inc. Sells 11,561 Shares of Alphabet Inc. $GOOG

Key Points

• Diversified Management Inc. cut its Alphabet stake by 88.6% in the second quarter, selling 11,561 shares and retaining 1,494 shares valued at approximately $528,000.
• Alphabet reported strong quarterly results, with revenue rising 24.2% year over year to $119.8 billion and EPS of $9.11, well above the $2.87 consensus estimate. Analysts maintain a “Buy” consensus with an average price target of $410.09.
• Alphabet’s AI momentum remains a key positive, with Gemini surpassing 1 billion monthly active users and new enterprise demand for Google Cloud AI; however, investors remain concerned about projected 2026 capital spending of roughly $195 billion to $205 billion and related margin pressure.

Diversified Management Inc. lessened its holdings in Alphabet Inc. (NASDAQ:GOOG - Free Report) by 88.6% during the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 1,494 shares of the information services provider's stock after selling 11,561 shares during the quarter. Diversified Management Inc.'s holdings in Alphabet were worth $528,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds have also added to or reduced their stakes in the company. Brighton Jones LLC grew its holdings in shares of Alphabet by 5.6% in the fourth quarter. Brighton Jones LLC now owns 120,253 shares of the information services provider's stock worth $22,901,000 after purchasing an additional 6,410 shares during the last quarter. Worldquant Millennium Advisors LLC raised its holdings in Alphabet by 76.2% during the 2nd quarter. Worldquant Millennium Advisors LLC now owns 1,865,304 shares of the information services provider's stock valued at $330,886,000 after buying an additional 806,681 shares during the last quarter. Darwin Wealth Management LLC bought a new stake in Alphabet during the 2nd quarter valued at $658,000. Financial Advisors Network Inc. boosted its position in Alphabet by 7.7% during the 2nd quarter. Financial Advisors Network Inc. now owns 7,945 shares of the information services provider's stock valued at $1,409,000 after buying an additional 565 shares during the period. Finally, Ausdal Financial Partners Inc. boosted its position in Alphabet by 10.7% during the 2nd quarter. Ausdal Financial Partners Inc. now owns 37,310 shares of the information services provider's stock valued at $6,618,000 after buying an additional 3,616 shares during the period. 27.26% of the stock is owned by institutional investors.

Alphabet News Summary

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Google’s Gemini app surpassed 1 billion monthly active users, marking the 14th Google product to reach that milestone. The figure supports Alphabet’s argument that its AI products are gaining meaningful consumer traction. Google's Gemini app surges to one billion users
• Positive Sentiment: Ryanair agreed to a five-year Google Cloud partnership covering Gemini and DeepMind models, including crew scheduling and operational decisions. The deal offers another example of enterprise demand for Google Cloud’s AI capabilities. Ryanair signs five-year Google Cloud deal
• Positive Sentiment: Several analysts remain bullish, with reported buy or equivalent ratings and a median GOOGL price target of $422.50. Recent institutional filings also showed purchases by Vanguard Personalized Indexing, BlackRock, State Street and Berkshire Hathaway, although the filings reflect earlier reporting periods.
• Neutral Sentiment: Alphabet will meet White House officials alongside Meta, Anthropic and OpenAI to discuss voluntary safety testing for advanced AI models. Cooperation could improve industry credibility, but the meeting highlights increasing scrutiny of AI risks. Alphabet, Meta and AI safety discussions
• Negative Sentiment: The main pressure appears to be concern over Alphabet’s elevated AI infrastructure spending—reported capital-expenditure guidance of roughly $195 billion to $205 billion for 2026—and its effect on margins, free cash flow and investment returns. A broader decline in large-cap technology stocks added to the selling.
• Negative Sentiment: French news organizations asked regulators to intervene over Google’s AI-generated search summaries, arguing that they reduce traffic to publishers. Alphabet also faces thousands of social-media addiction lawsuits and broader concerns about AI safety and misinformation. French media asks watchdog to act on Google's AI

Alphabet Stock Down 3.6%

Shares of Alphabet stock opened at $343.00 on Wednesday. The company has a current ratio of 2.72, a quick ratio of 2.64 and a debt-to-equity ratio of 0.16. Alphabet Inc. has a 12-month low of $197.46 and a 12-month high of $404.47. The company has a market cap of $4.19 trillion, a P/E ratio of 17.23, a PEG ratio of 1.00 and a beta of 1.23. The company's fifty day simple moving average is $353.30 and its two-hundred day simple moving average is $339.36.

Alphabet (NASDAQ:GOOG - Get Free Report) last posted its earnings results on Thursday, July 23rd. The information services provider reported $9.11 EPS for the quarter, topping the consensus estimate of $2.87 by $6.24. The firm had revenue of $119.80 billion during the quarter, compared to analysts' expectations of $116.53 billion. Alphabet had a net margin of 54.77% and a return on equity of 51.32%. The company's quarterly revenue was up 24.2% compared to the same quarter last year. During the same period last year, the company posted $2.31 EPS. Research analysts anticipate that Alphabet Inc. will post 20.51 EPS for the current year.

Alphabet Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, September 14th. Investors of record on Monday, September 7th will be paid a $0.22 dividend. This represents a $0.88 dividend on an annualized basis and a yield of 0.3%. The ex-dividend date of this dividend is Friday, September 4th. Alphabet's dividend payout ratio is presently 4.42%.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on GOOG. Scotiabank restated an "outperform" rating and issued a $450.00 price objective (up from $400.00) on shares of Alphabet in a research report on Thursday, April 30th. Freedom Capital upgraded shares of Alphabet from a "hold" rating to a "strong-buy" rating in a report on Thursday, July 23rd. Oppenheimer reissued an "outperform" rating and issued a $400.00 target price (down from $445.00) on shares of Alphabet in a research note on Thursday, July 23rd. Piper Sandler restated an "overweight" rating and set a $395.00 price target (down from $445.00) on shares of Alphabet in a report on Thursday, July 23rd. Finally, Truist Financial reduced their price target on Alphabet from $430.00 to $420.00 and set a "buy" rating on the stock in a report on Thursday, July 23rd. Six research analysts have rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and four have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Buy" and a consensus price target of $410.09.

Insider Buying and Selling

In other Alphabet news, Director John L. Hennessy sold 1,050 shares of the company's stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $368.63, for a total transaction of $387,061.50. Following the transaction, the director owned 1,481 shares in the company, valued at approximately $545,941.03. This represents a 41.49% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, major shareholder 2019 Gp L.L.C. Gv sold 196,931 shares of the stock in a transaction that occurred on Monday, July 27th. The stock was sold at an average price of $19.46, for a total value of $3,832,277.26. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 600,547 shares of company stock valued at $16,255,540 over the last three months. Corporate insiders own 12.99% of the company's stock.

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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