Stock Deep Dive · 2026-07-22
Alphabet (GOOGL) closed at $342.09, down 1.46% on the day. Year-to-date return is +9.4%, sitting at 70% of its 52-week range. Next earnings: 2026-07-23 (in 0 days).
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Close
$342.09
-1.46% · YTD +9.4%
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Market Cap
$4,174.38B
Internet Content & Information
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Forward P/E
23.3x
PER 26.1x
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52-wk Range
70%
High $408.61 · Low $187.82
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🔍 At a Glance
Alphabet’s core engine keeps humming — TTM revenue of $422.50B, +21.8% quarterly growth, a 32.7% operating margin, and a striking 38.9% ROE make the bull case straightforward, backed by strong_buy consensus from 53 analysts and an average target of 433.55 implying meaningful upside from 342.09. The bear case centers on valuation (PER 26.1, PEG 1.4, EV/EBITDA 25.9) and investor unease over surging AI capex, which has repeatedly pressured the stock even after beats, as seen in recent headlines about capex growth overshadowing Q2 results.
🏢 How It Makes Money
Alphabet operates through Google Services (Search, YouTube, Android, Play, ads, devices, subscriptions like YouTube TV and Google One), Google Cloud (AI infrastructure, Vertex AI, Gemini enterprise, cybersecurity, data analytics), and Other Bets. Advertising and cloud consumption fees remain the primary revenue drivers, with cloud notably growing 82% last quarter per headlines.
📈 Quarterly Results — Is Business Growing?
| Quarter | Revenue | Op. Income | Net Income | Op. Margin |
|---|---|---|---|---|
| 25Q1 | $90.23B | $30.61B | $34.54B | 33.9% |
| 25Q2 | $96.43B | $31.27B | $28.20B | 32.4% |
| 25Q3 | $102.35B | $31.23B | $34.98B | 30.5% |
| 25Q4 | $113.83B | $35.93B | $34.45B | 31.6% |
| 26Q1 | $109.90B | $39.70B | $62.58B | 36.1% |
Latest-quarter revenue up +21.8% versus the same quarter a year ago.
💡 Korea Market 101
⚖️ Valuation — Cheap or Expensive?
| Metric | Value | How to read it |
|---|---|---|
| P/E (trailing) | 26.1x | Price vs last 12 months’ earnings |
| P/E (forward) | 23.3x | Price vs next 12 months’ expected earnings — growth hopes baked in |
| P/S | 9.9x | Price vs revenue — for high-growth names with thin profits |
| P/B | 10.1x | Price vs book value — below 1x means priced under liquidation value |
| PEG | 1.4x | P/E ÷ growth — near 1 is fair for the growth; above 2 is demanding |
| EV/EBITDA | 25.9x | Enterprise value (incl. debt) vs cash generation |
Peer comparison
| Name | Mkt Cap | P/E | Fwd P/E | P/S |
|---|---|---|---|---|
| Alphabet Inc. | $4,174.38B | 26.1x | 23.3x | 9.9x |
| Microsoft Corporation | $2,899.62B | 23.2x | 20.1x | 9.1x |
| Meta Platforms, Inc. | $1,592.02B | 22.8x | 16.9x | 7.4x |
| Amazon.com, Inc. | $2,633.88B | 29.3x | 24.7x | 3.5x |
💡 Korea Market 101
🎯 Street Consensus
- Price target (mean): $433.55
- Target high / low: $515.00 / $340.00
- Implied upside: +26.7%
- Rating: Strong Buy (1.4/5)
- Analysts covering: 53
- Next earnings: 2026-07-23
💡 Korea Market 101
📉 Price Action — Technical Check
| Indicator | Value | How to read it |
|---|---|---|
| RSI (14d) | 38.1 | Above 70 overbought · below 30 oversold |
| vs 60-day MA | -7.4% | Above/below the medium-term trend |
| vs 200-day MA | +5.9% | Above/below the long-term trend |
| Golden/death cross | 50-day above 200-day (bullish alignment) | 50-day MA crossing above (golden) or below (death) the 200-day |
| Volume (vs 20d avg) | 0.9x | 2x+ means a spike in market attention |
💡 Korea Market 101
📰 Recent News
- Google Q2 earnings top expectations, cloud revenue grows 82%, but stock falls on capex growth — Yahoo Finance
- Stocks to Watch Recap: Super Micro Computer, AT&T, Tesla, Alphabet — WSJ
- Stock market today: Dow, S&P 500, Nasdaq slip as oil prices rise, Alphabet and Tesla earnings loom — Yahoo Finance
- Stock market today: Dow, S&P 500, Nasdaq futures slide with Alphabet, Tesla earnings on deck — Yahoo Finance
- Elon Musk gives Alphabet some earnings praise — MarketWatch
- Alphabet Stock Slides as AI Spending Keeps Up — WSJ
💡 Korea Market 101
🔭 Scenarios & What to Watch
Shares sit 7.4% below MA60 but 5.9% above MA200, with RSI at 38.1 suggesting mild oversold conditions — a rebound toward the 340-515 target range is plausible if AI monetization narratives improve. Continued heavy capex without matching cloud/AI revenue acceleration may weigh on sentiment, as recent headlines suggest. Watch the next earnings report on 2026-07-23 for updates on cloud growth trajectory and capex guidance, both of which have driven recent volatility. Confirm whether margin trends (currently 32.7%) hold as AI investment scales.
Next earnings on 2026-07-23 (in 0 days) — guidance usually decides the stock’s direction more than the reported quarter.
💡 Korea Market 101
📚 All stock analysis · More on Alphabet · Market report for this session
Auto-generated stock report · 2026-07-23 07:25 KST
For information only — a summary of public data, not a recommendation to buy or sell any security. Source data (Yahoo Finance and others) may be delayed or contain errors. All investment decisions are your own responsibility.
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