Research Analysts Set Expectations for Alphabet Q1 Earnings

Key Points

• Zacks Research has lowered its Q1 2027 EPS estimate for Alphabet to $2.55 from $2.67, with a full-year earnings forecast of $8.90 per share.
• Alphabet reported a Q1 earnings of $2.81 EPS, exceeding analyst expectations but falling short on revenue with $76.49 billion compared to the projected $89.30 billion.
• Analysts have raised their price targets for Alphabet, with the consensus rating now a "Moderate Buy" and a target price of $211.32 per share.

Alphabet Inc. (NASDAQ:GOOGL - Free Report) - Equities research analysts at Zacks Research cut their Q1 2027 earnings per share estimates for shares of Alphabet in a report released on Wednesday, July 23rd. Zacks Research analyst R. Department now anticipates that the information services provider will earn $2.55 per share for the quarter, down from their prior forecast of $2.67. The consensus estimate for Alphabet's current full-year earnings is $8.90 per share. Zacks Research also issued estimates for Alphabet's Q2 2027 earnings at $2.76 EPS and FY2027 earnings at $11.51 EPS.

Several other brokerages have also recently commented on GOOGL. Truist Financial reaffirmed a "buy" rating and issued a $200.00 target price on shares of Alphabet in a research report on Wednesday, July 2nd. Susquehanna boosted their target price on Alphabet from $220.00 to $225.00 and gave the company a "positive" rating in a research note on Thursday. KeyCorp increased their price target on Alphabet from $215.00 to $230.00 and gave the company an "overweight" rating in a research report on Thursday. JPMorgan Chase & Co. lifted their price target on Alphabet from $200.00 to $232.00 and gave the stock an "overweight" rating in a report on Thursday. Finally, Roth Capital lifted their price objective on Alphabet from $205.00 to $210.00 and gave the company a "buy" rating in a report on Thursday. Ten investment analysts have rated the stock with a hold rating, twenty-nine have issued a buy rating and four have assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, Alphabet presently has an average rating of "Moderate Buy" and an average price target of $211.32.

Alphabet Stock Performance

Shares of GOOGL stock traded down $1.13 during trading on Friday, reaching $192.06. The company had a trading volume of 20,859,503 shares, compared to its average volume of 36,963,582. The firm's 50 day simple moving average is $175.77 and its two-hundred day simple moving average is $172.79. The company has a debt-to-equity ratio of 0.07, a current ratio of 1.90 and a quick ratio of 1.90. Alphabet has a one year low of $140.53 and a one year high of $207.05. The company has a market capitalization of $2.33 trillion, a PE ratio of 20.45, a PEG ratio of 1.31 and a beta of 1.00.

Alphabet (NASDAQ:GOOGL - Get Free Report) last announced its quarterly earnings data on Thursday, April 24th. The information services provider reported $2.81 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.02 by $0.79. Alphabet had a return on equity of 34.31% and a net margin of 31.12%. The firm had revenue of $76.49 billion during the quarter, compared to the consensus estimate of $89.30 billion. During the same period in the prior year, the business earned $1.89 EPS.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of GOOGL. Vanguard Group Inc. raised its holdings in Alphabet by 2.9% in the 1st quarter. Vanguard Group Inc. now owns 509,826,331 shares of the information services provider's stock worth $78,839,544,000 after purchasing an additional 14,307,345 shares during the period. FMR LLC raised its holdings in Alphabet by 9.8% in the 4th quarter. FMR LLC now owns 248,416,916 shares of the information services provider's stock worth $47,025,322,000 after purchasing an additional 22,100,902 shares during the period. Norges Bank bought a new position in Alphabet in the 4th quarter worth $24,383,677,000. Price T Rowe Associates Inc. MD raised its holdings in Alphabet by 8.3% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 98,638,127 shares of the information services provider's stock worth $18,672,198,000 after purchasing an additional 7,574,417 shares during the period. Finally, Capital Research Global Investors raised its holdings in Alphabet by 16.2% in the 4th quarter. Capital Research Global Investors now owns 72,033,086 shares of the information services provider's stock worth $13,635,878,000 after purchasing an additional 10,037,685 shares during the period. Hedge funds and other institutional investors own 40.03% of the company's stock.

Insiders Place Their Bets

In related news, Director Kavitark Ram Shriram sold 18,566 shares of the business's stock in a transaction dated Friday, July 18th. The stock was sold at an average price of $185.76, for a total transaction of $3,448,820.16. Following the completion of the transaction, the director directly owned 243,400 shares in the company, valued at $45,213,984. The trade was a 7.09% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Sundar Pichai sold 32,500 shares of the company's stock in a transaction dated Wednesday, July 2nd. The stock was sold at an average price of $178.52, for a total value of $5,801,900.00. Following the completion of the transaction, the chief executive officer owned 2,559,892 shares of the company's stock, valued at $456,991,919.84. The trade was a 1.25% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 249,409 shares of company stock valued at $43,523,710 over the last ninety days. Corporate insiders own 11.64% of the company's stock.

Alphabet Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Stockholders of record on Monday, September 8th will be issued a $0.21 dividend. This represents a $0.84 dividend on an annualized basis and a dividend yield of 0.44%. The ex-dividend date is Monday, September 8th. Alphabet's payout ratio is currently 8.95%.

About Alphabet

Alphabet Inc offers various products and platforms in the United States, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America. It operates through Google Services, Google Cloud, and Other Bets segments. The Google Services segment provides products and services, including ads, Android, Chrome, devices, Gmail, Google Drive, Google Maps, Google Photos, Google Play, Search, and YouTube.