Gabelli Funds LLC Decreases Stock Position in Alphabet Inc. $GOOGL

Key Points

• Gabelli Funds reduced its Alphabet stake by 0.5% in the first quarter, selling 1,744 shares and retaining 344,643 shares worth approximately $99.1 million. Institutional investors overall own about 40% of Alphabet.
• Analysts remain bullish on GOOGL: Alphabet has an average “Buy” rating and a consensus price target of $419.86, supported by quarterly revenue of $119.8 billion and EPS of $9.11, both above expectations.
• Alphabet shares opened at $373.51 after rising 4.9%; the company also announced a quarterly dividend of $0.22 per share. Insiders have sold roughly $16.3 million of stock over the past 90 days.

Gabelli Funds LLC lessened its stake in shares of Alphabet Inc. (NASDAQ:GOOGL - Free Report) by 0.5% in the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 344,643 shares of the information services provider's stock after selling 1,744 shares during the period. Alphabet accounts for approximately 0.7% of Gabelli Funds LLC's holdings, making the stock its 22nd biggest position. Gabelli Funds LLC's holdings in Alphabet were worth $99,106,000 at the end of the most recent reporting period.

A number of other institutional investors have also recently made changes to their positions in the company. Rockbridge Investment Management LCC increased its holdings in shares of Alphabet by 0.5% in the first quarter. Rockbridge Investment Management LCC now owns 5,460 shares of the information services provider's stock worth $1,570,000 after purchasing an additional 27 shares during the last quarter. Pennington Partners & CO. LLC boosted its stake in Alphabet by 1.0% during the first quarter. Pennington Partners & CO. LLC now owns 6,883 shares of the information services provider's stock valued at $1,979,000 after buying an additional 66 shares during the last quarter. GC Wealth Management RIA LLC grew its holdings in Alphabet by 1.6% during the 1st quarter. GC Wealth Management RIA LLC now owns 512,353 shares of the information services provider's stock valued at $147,332,000 after buying an additional 8,222 shares in the last quarter. Klingman & Associates LLC grew its holdings in Alphabet by 3.1% during the 1st quarter. Klingman & Associates LLC now owns 27,370 shares of the information services provider's stock valued at $7,871,000 after buying an additional 826 shares in the last quarter. Finally, CLG LLC increased its stake in Alphabet by 0.8% in the 1st quarter. CLG LLC now owns 6,662 shares of the information services provider's stock worth $1,916,000 after acquiring an additional 50 shares during the last quarter. Hedge funds and other institutional investors own 40.03% of the company's stock.

Insider Activity

In other news, Director John L. Hennessy sold 1,050 shares of the stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $368.63, for a total value of $387,061.50. Following the sale, the director directly owned 1,481 shares in the company, valued at approximately $545,941.03. This represents a 41.49% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, major shareholder 2019 Gp L.L.C. Gv sold 196,931 shares of the firm's 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. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 600,547 shares of company stock valued at $16,255,540. 11.61% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on GOOGL. Daiwa Securities Group upped their price objective on Alphabet from $380.00 to $445.00 and gave the stock a "buy" rating in a report on Tuesday, May 5th. Arete Research raised their target price on shares of Alphabet from $405.00 to $425.00 and gave the company a "buy" rating in a report on Monday, May 18th. Mizuho boosted their price target on shares of Alphabet from $420.00 to $460.00 and gave the stock an "outperform" rating in a research report on Wednesday, May 6th. Needham & Company LLC reaffirmed a "buy" rating and set a $450.00 price target on shares of Alphabet in a research note on Wednesday, June 3rd. Finally, Oppenheimer increased their price objective on shares of Alphabet from $425.00 to $445.00 and gave the company an "outperform" rating in a research report on Friday, May 15th. Six analysts have rated the stock with a Strong Buy rating, forty-four have issued a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, Alphabet currently has an average rating of "Buy" and a consensus price target of $419.86.

Key Stories Impacting Alphabet

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Strong earnings and analyst support: Alphabet’s latest results significantly exceeded consensus expectations, reinforcing confidence in accelerating revenue and profit growth. Multiple reports describe the stock as undervalued or a favorable growth investment, while analysts maintain a consensus “Buy” rating. Alphabet Stock is Climbing: What's Going On Today?
• Positive Sentiment: AI infrastructure positioning: Commentary argues Alphabet is better equipped than many peers to absorb the cost of Nvidia chips while benefiting from expanding AI demand. Investors also see Google Search, cloud services, and AI infrastructure as complementary growth engines. Berkshire Hathaway’s reported investment in Alphabet adds to the bullish narrative. The Nvidia Tax: Alphabet Mitigates It Better
• Positive Sentiment: Waymo validation: An analysis reported that Alphabet’s Waymo robotaxis crash substantially less often than human-driven vehicles. While Waymo is not yet a major earnings contributor, the finding supports Alphabet’s long-term autonomous-driving and technology portfolio. Waymo robotaxis found to crash 68% less often
• Positive Sentiment: Commercial AI momentum: Google’s partnership with Paris Saint-Germain and participation in upcoming White House AI-regulation discussions highlight expanding enterprise and institutional interest in its AI capabilities. Paris Saint-Germain partners with Google on AI
• Neutral Sentiment: Microsoft’s lead in cloud market share remains a competitive concern, although Alphabet’s Google Cloud continues to grow and benefits from the same AI spending cycle. Microsoft Races Ahead of Google in the Cloud
• Neutral Sentiment: Investors are weighing whether heavy AI capital expenditures will temporarily pressure margins or create durable long-term returns.
• Negative Sentiment: A Google Earth tool reportedly made it possible to create AI-generated fake satellite imagery, raising questions about safeguards, misinformation, and potential regulatory scrutiny. For a Day, Google Made It Easy to Spoof Satellite Imagery

Alphabet Trading Up 4.9%

Shares of GOOGL opened at $373.51 on Tuesday. Alphabet Inc. has a twelve month low of $190.12 and a twelve month high of $408.61. The company has a market cap of $4.57 trillion, a P/E ratio of 18.76, a P/E/G ratio of 1.00 and a beta of 1.24. The company has a current ratio of 2.72, a quick ratio of 2.64 and a debt-to-equity ratio of 0.16. The company's fifty day simple moving average is $357.60 and its 200-day simple moving average is $339.62.

Alphabet (NASDAQ:GOOGL - Get Free Report) last released its quarterly earnings results on Wednesday, July 22nd. The information services provider reported $9.11 EPS for the quarter, topping analysts' consensus estimates of $2.89 by $6.22. Alphabet had a net margin of 54.77% and a return on equity of 51.32%. The firm had revenue of $119.80 billion during the quarter, compared to analysts' expectations of $117.07 billion. As a group, analysts expect that Alphabet Inc. will post 20.51 EPS for the current year.

Alphabet Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, September 14th. Stockholders of record on Monday, September 7th will be paid a dividend of $0.22 per share. The ex-dividend date of this dividend is Friday, September 4th. This represents a $0.88 dividend on an annualized basis and a dividend yield of 0.2%. Alphabet's dividend payout ratio is currently 4.42%.

Alphabet Company 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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