Quick Look:

Alphabet Inc. (GOOGL) is trading $1.18 below its 52-week high of $155.74, highlighting strong market performance.
Alphabet’s stock outperformed some peers, with Meta Platforms rising by 1.23%.
The current trading volume of 24.5 million is lower than the 50-day average of 33.1 million, indicating reduced activity.
Analysts expect a 31% EPS growth for the fiscal year, with revenue projected to increase by 13.6%.

Alphabet Inc. (GOOGL) is currently trading at a price that is $1.18 shy of its 52-week high of $155.74, achieved on April 1st. This near-peak performance underscores the company’s robust market standing and highlights its potential for further gains.

Competitor Performance: Meta Up 1.23%, Microsoft is Down 0.74%

In comparison to its key competitors, Alphabet’s stock performance shows a mixed landscape within the tech industry. Microsoft experienced a slight decline of 0.74%, closing at $421.44. Amazon also saw a marginal decrease of 0.15%, with a closing price of $180.69. In contrast, Meta Platforms surged by 1.23%, ending the day at $497.37. These figures provide a snapshot of the varying trajectories among leading tech stocks, positioning Alphabet favourably amidst its peers.

The trading volume for Alphabet currently stands at 24.5 million, which is significantly lower than its 50-day average of 33.1 million. This decrease of 8.7 million in trading volume could suggest a temporary lull in trading activity or a strategic holding pattern by investors awaiting further market developments.

Alphabet Gains 2.4% in a Month, Trailing S&P 500’s 2.8%

Alphabet remains a focal point for investors, as evidenced by its status as one of the most tracked stocks on Zacks.com. Over the past month, Alphabet’s stock has appreciated by 2.4%, though it trails behind the Zacks S&P 500 composite, which has risen by 2.8%, and the Zacks Internet – Services industry, which has increased by 2.7%. This keen interest from investors highlights the market’s recognition of Alphabet’s growth potential and stability.

For the current quarter, analysts expect Alphabet to report earnings per share (EPS) of $1.85, reflecting a 28.5% increase from the same period last year. The consensus on these earnings estimates has remained steady over the past 30 days. Looking ahead to the current fiscal year, the consensus EPS is projected at $7.60, marking a 31% increase from the previous year. However, this consensus has seen a minor dip of 0.1% in the last month. For the next fiscal year, the projected EPS is $8.61, an improvement of 13.3% year-over-year, despite a slight decrease of 0.4% in consensus estimates recently. Alphabet currently holds a Zacks Rank of #3 (Hold), indicating a neutral stance among analysts.

Alphabet’s Quarterly Revenue Projected to Grow 13.7%

Revenue estimates for Alphabet are equally promising. For the current quarter, the consensus sales figure stands at $70.55 billion, a 13.7% increase from the previous year. The consensus anticipates $291.26 billion in sales for the full fiscal year, up 13.6% from the previous year. The forecast for the next fiscal year projects revenues of $325.08 billion, representing an 11.6% year-over-year growth.

Alphabet’s most recent quarterly results showcased a revenue of $67.59 billion, a 16.4% increase from the previous year, and an EPS of $1.89, compared to $1.17 the previous year. These figures surpassed consensus estimates of $66.04 billion in revenue and exceeded EPS expectations by 26.85%. Furthermore, Alphabet has consistently beaten EPS and revenue estimates in the last four quarters, underscoring its strong financial performance.

Zacks Value Score C Reflects Fair Valuation

From a valuation perspective, Alphabet’s intrinsic value and growth prospects are crucial elements for investors to consider. The company’s Zacks Value Style Score stands at C, indicating that its valuation is on par with its industry peers. This rating suggests that while Alphabet is fairly valued relative to its intrinsic worth, it also offers considerable growth potential that could attract long-term investors.