Harel Insurance Investments & Financial Services Ltd. Reduces Stock Position in Alphabet Inc. $GOOG

Key Points

• Harel Insurance Investments & Financial Services Ltd. cut its Alphabet stake by 54.7% in the fourth quarter, selling 48,310 shares and ending with 40,060 shares worth about $12.56 million.
• Despite that sale, Alphabet continues to attract broad institutional interest, with other hedge funds and investors adding positions and institutions owning 27.26% of the stock.
• Alphabet reported strong recent results and remains well-rated by analysts: it beat earnings and revenue estimates last quarter, raised its dividend, and Wall Street currently has a Buy consensus with an average price target of $363.40.

Harel Insurance Investments & Financial Services Ltd. lessened its position in Alphabet Inc. (NASDAQ:GOOG - Free Report) by 54.7% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 40,060 shares of the information services provider's stock after selling 48,310 shares during the period. Harel Insurance Investments & Financial Services Ltd.'s holdings in Alphabet were worth $12,560,000 as of its most recent SEC filing.

Other hedge funds have also recently bought and sold shares of the company. Imprint Wealth LLC purchased a new stake in Alphabet in the 3rd quarter worth approximately $31,000. Manning & Napier Advisors LLC purchased a new stake in Alphabet in the 3rd quarter worth approximately $32,000. Nvest Wealth Strategies Inc. purchased a new stake in Alphabet in the 4th quarter worth approximately $38,000. Towne Trust Company N.A grew its stake in Alphabet by 34.0% in the 4th quarter. Towne Trust Company N.A now owns 134 shares of the information services provider's stock worth $42,000 after acquiring an additional 34 shares during the period. Finally, Lynch Asset Management Inc. purchased a new stake in Alphabet in the 3rd quarter valued at about $61,000. Institutional investors and hedge funds own 27.26% of the company's stock.

Key Headlines Impacting Alphabet

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Bank of America and other analysts are expecting major Gemini AI announcements at Google I/O, which could reinforce Alphabet’s leadership in AI and support the stock. BofA Sends Blunt Message for Alphabet Investors Ahead of Google I/O
• Positive Sentiment: Oppenheimer raised its price target on Alphabet, and Erste Group also lifted earnings estimates, signaling stronger profit expectations ahead of Google I/O. Alphabet had its price target raised by Oppenheimer Holdings, Inc.
• Positive Sentiment: Several investors and funds, including Goldman Sachs and Egerton Capital, disclosed larger Alphabet stakes, suggesting continued institutional confidence. Fund Update: GOLDMAN SACHS GROUP INC Just Disclosed New Holdings
• Positive Sentiment: Reports that Google’s Gemini Flash model is quietly gaining AI customers and that Alphabet is expanding AI infrastructure point to improving enterprise demand for its AI products. Google has been quietly gaining AI customers, even before big releases next week
• Positive Sentiment: Alphabet completed a record 576.5 billion yen bond offering to fund AI capex, showing it still has strong access to capital for its infrastructure buildout. Alphabet completes record-breaking yen bond issuance
• Neutral Sentiment: News that Google is in talks with SpaceX to launch data centers into space is intriguing, but it is still early-stage and speculative. Google in Talks with SpaceX to Launch Data Centers into Space
• Neutral Sentiment: Isomorphic Labs raised $2.1 billion to use AI for drug discovery, which highlights Alphabet’s broader AI ecosystem, but the direct stock impact is limited for now. Isomorphic Labs Raises $2.1 Billion to End Disease With AI
• Negative Sentiment: Bill Ackman’s Pershing Square sharply cut its GOOG and GOOGL positions, adding to concern that some large investors may be taking profits after the run-up. Fund Update: Bill Ackman's Pershing Square Capital Management, L.P. Just Disclosed New Holdings
• Negative Sentiment: Some commentary says Alphabet’s heavy AI and cloud spending is pressuring free cash flow, raising questions about near-term margins and valuation. 6.7% AA2 Bond Yield From Alphabet, But There Is a Catch

Analysts Set New Price Targets

Several research firms have commented on GOOG. DZ Bank upgraded Alphabet to a "strong-buy" rating in a report on Monday, February 16th. Raymond James Financial restated a "strong-buy" rating and issued a $425.00 price target on shares of Alphabet in a report on Thursday, April 30th. TD Cowen boosted their target price on Alphabet from $375.00 to $450.00 and gave the stock a "buy" rating in a report on Thursday, April 30th. Cantor Fitzgerald reiterated a "neutral" rating on shares of Alphabet in a report on Tuesday, January 20th. Finally, Wells Fargo & Company upgraded Alphabet from a "hold" rating to a "strong-buy" rating in a report on Monday, February 23rd. Six investment analysts have rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating and four have given a Hold rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Buy" and an average price target of $363.40.

Alphabet Stock Down 1.0%

Shares of NASDAQ:GOOG opened at $393.32 on Friday. The company has a debt-to-equity ratio of 0.16, a quick ratio of 1.92 and a current ratio of 1.92. Alphabet Inc. has a 1 year low of $163.33 and a 1 year high of $399.93. The stock has a market capitalization of $4.77 trillion, a P/E ratio of 30.00, a PEG ratio of 1.70 and a beta of 1.25. The stock has a 50-day simple moving average of $327.44 and a 200-day simple moving average of $316.98.

Alphabet (NASDAQ:GOOG - Get Free Report) last issued its earnings results on Thursday, April 30th. The information services provider reported $5.11 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.68 by $2.43. Alphabet had a return on equity of 38.99% and a net margin of 37.92%.The business had revenue of $109.90 billion during the quarter, compared to analysts' expectations of $106.96 billion. During the same quarter in the previous year, the business earned $2.81 EPS. The company's revenue for the quarter was up 21.8% on a year-over-year basis. Equities analysts forecast that Alphabet Inc. will post 14.29 earnings per share for the current year.

Alphabet Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, June 15th. Investors of record on Monday, June 8th will be given a dividend of $0.22 per share. This is a boost from Alphabet's previous quarterly dividend of $0.21. The ex-dividend date of this dividend is Monday, June 8th. This represents a $0.88 annualized dividend and a yield of 0.2%. Alphabet's dividend payout ratio is presently 6.41%.

Insider Activity

In related news, Director John L. Hennessy sold 1,050 shares of the business's stock in a transaction that occurred on Wednesday, April 15th. The stock was sold at an average price of $331.65, for a total transaction of $348,232.50. Following the transaction, the director directly owned 3,581 shares of the company's stock, valued at approximately $1,187,638.65. The trade was a 22.67% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, Director Frances Arnold sold 112 shares of the business's stock in a transaction that occurred on Monday, March 2nd. The stock was sold at an average price of $302.99, for a total value of $33,934.88. Following the transaction, the director directly owned 18,418 shares in the company, valued at $5,580,469.82. This trade represents a 0.60% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 157,953 shares of company stock worth $47,767,818 in the last ninety days. 12.99% of the stock is currently owned by company insiders.

Alphabet 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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