Google stock rises to 103.59 as of 01:34 PM EDT.
After the market closes on Tuesday, Alphabet (NASDAQ:GOOG) (NASDAQ:GOOGL) will announce its earnings, and attention will be focused on any clarification it can offer regarding the uncertain path the internet advertising business is heading down. A variety of third-quarter data points suggest that the widely anticipated advertising recession of 2022 is either (1) turning around or (2) dragging on.
And with its most recent earnings release in July, Alphabet broke a nine-quarter streak by (slimly) missing sales targets. Despite this, coming so close to missing revenue targets ended up calming investors during a challenging earnings season.
The standard has once again been reduced this season. In the last three months, there have been 36 decreases in expectations for Alphabet’s EPS and only two increases; similarly, there have been 35 decreases in projections for revenues and only three increases.
Indicators for Alphabet stock performance
Even though Google is on social media, its search revenue is thought to be more stable than traditional social media advertising when the economy is bad. Investors will pay close attention to YouTube search revenue, which is likely one of the main concerns raised by the most recent print. While the results call for the previous quarter, the firm hurried to note that YouTube had to meet an “extremely strong” comparison with the second quarter of 2021.
So, a change there would be welcome, as would more information about the company’s focus on YouTube Shorts, which is a high-risk response to how popular TikTok has become. In terms of revenue, Google Services is expected to generate just under $64 billion, while its cloud division is expected to generate $6.6 billion, trailing competitors Microsoft and Amazon.com.
Overall, consensus projections call for revenues of $70.7 billion (which would represent an increase of 8.5% compared to the prior year) and share price (normalized) of $1.26.
Alphabet Stock: My Favourite Risky Bet In A Volatile Market
Featured Image – Megapixl © Vladsseven
Author Jowi Kwasu 
