State Street Corp Grows Stock Position in Alphabet Inc. $GOOGL

Key Points

• State Street increased its Alphabet stake by 5.6% in the second quarter, adding 12.7 million shares to own approximately 239 million shares worth $85.4 billion. Institutional investors now hold about 40% of Alphabet’s stock.
• Alphabet reported stronger-than-expected quarterly results, with $9.11 in EPS and $119.8 billion in revenue, while AI growth, cloud demand and YouTube investments support the company’s outlook.
• Despite an overall “Buy” analyst rating and average price target of $422.16, Alphabet faces competitive and regulatory risks, including cheaper Anthropic AI offerings, UK search-choice proposals and recent pressure on the stock.

State Street Corp grew its stake in Alphabet Inc. (NASDAQ:GOOGL - Free Report) by 5.6% in the 2nd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 238,977,259 shares of the information services provider's stock after buying an additional 12,718,127 shares during the quarter. Alphabet accounts for about 1.7% of State Street Corp's investment portfolio, making the stock its 7th biggest holding. State Street Corp owned about 1.95% of Alphabet worth $85,403,303,000 as of its most recent filing with the Securities & Exchange Commission.

Several other large investors also recently made changes to their positions in GOOGL. Diamant Asset Management Inc. raised its stake in shares of Alphabet by 28,950.0% in the 1st quarter. Diamant Asset Management Inc. now owns 9,291,926 shares of the information services provider's stock valued at $2,671,986,000 after purchasing an additional 9,259,940 shares during the period. Arrowstreet Capital Limited Partnership boosted its position in shares of Alphabet by 90.9% during the first quarter. Arrowstreet Capital Limited Partnership now owns 17,040,373 shares of the information services provider's stock worth $4,900,078,000 after buying an additional 8,112,680 shares during the period. Corient Private Wealth LLC grew its holdings in shares of Alphabet by 127.9% during the fourth quarter. Corient Private Wealth LLC now owns 11,677,886 shares of the information services provider's stock worth $3,655,178,000 after buying an additional 6,554,842 shares in the last quarter. T. Rowe Price Investment Management Inc. raised its position in Alphabet by 45.8% in the 4th quarter. T. Rowe Price Investment Management Inc. now owns 13,737,125 shares of the information services provider's stock valued at $4,299,721,000 after buying an additional 4,313,745 shares during the last quarter. Finally, Amundi raised its position in Alphabet by 12.7% in the 1st quarter. Amundi now owns 31,745,979 shares of the information services provider's stock valued at $9,128,850,000 after buying an additional 3,574,810 shares during the last quarter. Institutional investors own 40.03% of the company's stock.

Alphabet News Roundup

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Alphabet continues to benefit from strong AI-related growth. Reports point to a cloud backlog exceeding $500 billion, expanding Gemini adoption and AI monetization across cloud services, advertising and software. Prediction: This Magnificent Seven Stock Could Soar 50% by 2027
• Positive Sentiment: YouTube is investing in tools and incentives to retain prominent digital creators as it competes with Netflix, supporting the platform’s advertising and subscription opportunity. YouTube Is Battling Netflix Over Top Talent
• Positive Sentiment: Google agreed to support Georgia Power’s nuclear-plant upgrades, potentially adding 96 megawatts of capacity. The agreement could help secure electricity for Alphabet’s energy-intensive data-center expansion. Georgia Power Signs Google Deal to Boost Nuclear Capacity
• Neutral Sentiment: Analysts remain broadly constructive, with positive earnings revisions and no reported sell ratings. However, these expectations appear to be largely reflected in the valuation, limiting the immediate upside reaction.
• Negative Sentiment: Anthropic’s decision to lower Claude pricing increases competitive pressure on Google Cloud and may reduce revenue per comparable AI workload. Alphabet’s Slips as Claude Gets Cheaper
• Negative Sentiment: Investors are rotating within big technology stocks amid concerns about AI spending, competition and the pace of returns. Alphabet was among the weaker performers in that rotation. Alphabet Drops as AI Rotation Splits Big Tech
• Negative Sentiment: UK regulators proposed giving Android and Chrome users more choice over search engines and AI assistants, posing a potential threat to Google’s default-search advantage. Google also faces an appeal of a $425 million privacy verdict. UK Regulator Proposes Giving Consumers More Search Choice

Alphabet Stock Down 3.8%

GOOGL stock opened at $337.83 on Thursday. The company has a market cap of $4.13 trillion, a PE ratio of 16.97, a price-to-earnings-growth ratio of 1.02 and a beta of 1.22. The business has a 50-day simple moving average of $344.42 and a 200 day simple moving average of $346.14. Alphabet Inc. has a 52 week low of $235.84 and a 52 week high of $408.61. The company has a quick ratio of 2.64, a current ratio of 2.72 and a debt-to-equity ratio of 0.16.

Alphabet (NASDAQ:GOOGL - Get Free Report) last issued its quarterly earnings data on Wednesday, July 22nd. The information services provider reported $9.11 EPS for the quarter, beating the consensus estimate of $2.89 by $6.22. The business had revenue of $119.80 billion during the quarter, compared to the consensus estimate of $117.07 billion. Alphabet had a net margin of 54.77% and a return on equity of 51.32%. Sell-side analysts anticipate that Alphabet Inc. will post 20.51 EPS for the current fiscal year.

Alphabet Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, September 14th. Shareholders of record on Monday, September 7th were issued a dividend of $0.22 per share. The ex-dividend date of this dividend was Friday, September 4th. This represents a $0.88 annualized dividend and a yield of 0.3%. Alphabet's payout ratio is presently 4.42%.

Insider Activity

In related news, CAO Marsida Saraci sold 449 shares of Alphabet stock in a transaction that occurred on Wednesday, July 29th. The stock was sold at an average price of $333.20, for a total value of $149,606.80. Following the transaction, the chief accounting officer directly owned 27,386 shares of the company's stock, valued at $9,125,015.20. The trade was a 1.61% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, major shareholder 2019 Gp L.L.C. Gv sold 118,138 shares of the company's stock in a transaction that occurred on Tuesday, July 28th. The shares were sold at an average price of $18.90, for a total value of $2,232,808.20. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 450,875 shares of company stock valued at $11,984,482. Company insiders own 11.61% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on GOOGL shares. KeyCorp raised their price target on shares of Alphabet from $425.00 to $445.00 and gave the stock an "overweight" rating in a research note on Friday, July 10th. Truist Financial set a $420.00 target price on shares of Alphabet and gave the stock a "buy" rating in a report on Thursday, July 23rd. Wall Street Zen downgraded shares of Alphabet from a "buy" rating to a "hold" rating in a research report on Saturday, August 1st. UBS Group cut their price target on shares of Alphabet from $400.00 to $379.00 and set a "neutral" rating on the stock in a research report on Thursday, July 23rd. Finally, Cantor Fitzgerald restated an "overweight" rating and set a $420.00 price objective (down from $435.00) on shares of Alphabet in a research note on Thursday, July 23rd. Five research analysts have rated the stock with a Strong Buy rating, forty-five have given a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Buy" and an average target price of $422.16.

Alphabet Company Profile

Alphabet Inc is a technology and holding company founded in 2015 through a restructuring of Google. The company is headquartered in Mountain View, California, and operates globally, serving consumers, businesses, advertisers and developers across numerous countries and regions.

Alphabet's largest business is Google Services, which includes Google Search, online advertising, YouTube, Android, Chrome, Google Maps, Google Play and hardware products such as Pixel devices. These products support activities including internet search, digital content distribution, mobile computing, online communications and advertising.

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