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Alphabet (GOOGL) Stock Moves -0.28%: What You Should Know

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In the latest market close, Alphabet (GOOGL - Free Report) reached $175.90, with a -0.28% movement compared to the previous day. The stock exceeded the S&P 500, which registered a loss of 0.74% for the day. Meanwhile, the Dow lost 1.06%, and the Nasdaq, a tech-heavy index, lost 0.58%.

Shares of the internet search leader witnessed a gain of 8.37% over the previous month, beating the performance of the Computer and Technology sector with its gain of 7.86% and the S&P 500's gain of 4.27%.

Investors will be eagerly watching for the performance of Alphabet in its upcoming earnings disclosure. The company is forecasted to report an EPS of $1.85, showcasing a 28.47% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $70.55 billion, showing a 13.67% escalation compared to the year-ago quarter.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $7.61 per share and revenue of $295.53 billion. These totals would mark changes of +31.21% and +15.21%, respectively, from last year.

Investors should also take note of any recent adjustments to analyst estimates for Alphabet. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.18% higher. Alphabet is currently a Zacks Rank #1 (Strong Buy).

With respect to valuation, Alphabet is currently being traded at a Forward P/E ratio of 23.18. This expresses a premium compared to the average Forward P/E of 23.16 of its industry.

We can additionally observe that GOOGL currently boasts a PEG ratio of 1.32. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Internet - Services industry had an average PEG ratio of 1.88 as trading concluded yesterday.

The Internet - Services industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 80, this industry ranks in the top 32% of all industries, numbering over 250.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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