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Alphabet stock surges 10% on back of blowout earnings


Sundar Pichai CEO, Google

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Shares AlphabetAfter the Google parent company’s blowout, premarket prices continued to climb fourth-quarter earnings.

In premarket trading, the company’s stock rose more than 10 percent.

Alphabet posted earnings per share at $30.69 as compared with the $27.34 anticipated, according toRefinitiv. The company also saw a significant increase in revenue, reaching $75.33 Billion, compared with the estimated $72.17 Billion.

Google advertising revenues grew by a lot for the company. The segment’s revenue was $61.24 Billion for the quarter. This is 33% more than the $46.2 billion recorded in the previous year.

Rohit Kulkarni, MKM’s Managing Director and CEO stated in an investor note that “very robust advertising revenue growth indicates the overall demand environment has maintained healthy amidst volatile supplies chain and macro uncertainties.”

Cloud revenue also increased by 45% to $5.54 trillion. Sundar Pichai, Alphabet CEO, stated that the company experienced 65% growth year-over-year in cloud sales worth more than $1 billion.

Nine Wall Street businesses were affected by the report. raise their price targetStock. Lloyd Walmsley of UBS, an analyst, has raised his price target at $3,900 to $4,800. This represents an upside by 41.7% compared with Tuesday’s close.

Alphabet’s solid earnings report comes after a year of outstanding performance. The stock surged 65% last year, beating all other Big Tech companies and more than tripling gains in the S&P 500. Alphabet announced Tuesday that its board had approved plans to a 20-for-1 stock split.

— CNBC’s Jennifer Elias contributed to this report.

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