Quick Read – Alphabet trades at a 17 forward P/E despite 24% revenue growth and 82% Cloud expansion, making it cheaper than the average S&P 500 stock. – GOOGL’s $514 billion Cloud backlog and 65 analysts with zero Sell ratings support a consensus price target of $427. – Alphabet…
spended buybacks and nearly doubled long-term debt to $98 billion as $200 billion capex guidance pushed free cash flow negative. – Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Google didn’t make the cut. Grab the names FREE today
At $356.13, Alphabet (NASDAQ:GOOGL) looks meaningfully undervalued. The stock just delivered one of the largest earnings beats in mega-cap tech history, yet trades at a forward multiple that would be considered cheap for a slow-growing industrial. Alphabet is the parent of Google Search, YouTube, Android, Google Cloud, and Waymo, and it now sits at the center of the enterprise AI buildout.
Google Cloud revenue growth has ramped from 34% to 48% to 63% to 82% across the last four quarters, and nearly 90% of the Fortune 100 now uses Gemini Enterprise. The stock initially sold off after the Q2 earnings report on capex sticker shock, dropping to $319.74 before rebounding 11.38% in the following week. That reset is what created today’s setup.