Mountain View, California-based Alphabet Inc. (GOOGL) is a multinational technology conglomerate holding company offering various products and platforms. With a market cap of $3.3 trillion, GOOGL provides web-based search, advertisements, maps, software applications, mobile operating systems, consumer content, enterprise solutions, commerce, and hardware products. The internet media giant is expected to announce its fiscal first-quarter earnings for 2026 in the near term.
Ahead of the event, analysts expect GOOGL to report a profit of $2.76 per share on a diluted basis, down 1.8% from $2.81 per share in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports.
For the full year, analysts expect GOOGL to report EPS of $11.61, up 7.4% from $10.81 in fiscal 2025. Its EPS is expected to rise 14.6% year over year to $13.31 in fiscal 2027.
GOOGL stock has notably outperformed the S&P 500 Index’s ($SPX) 13.7% gains over the past 52 weeks, with shares up 77.2% during this period. Similarly, it considerably outpaced the State Street Communication Services Select Sector SPDR ETF’s (XLC) 12.8% gains over the same time frame.
GOOGL's strong performance is driven by Google Cloud's 55% backlog surge to $240 billion, AI adoption with nearly 75% of Cloud customers using Alphabet's AI products, and Gemini's 750 million+ monthly active users. Additionally, AI-powered Search and YouTube ad growth have contributed to the company's success.
Analysts’ consensus opinion on GOOGL stock is bullish, with a “Strong Buy” rating overall. Out of 54 analysts covering the stock, 46 advise a “Strong Buy” rating, three suggest a “Moderate Buy,” and five give a “Hold.” GOOGL’s average analyst price target is $379.21, indicating a notable potential upside of 38.7% from the current levels.
On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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