(GOOGL) on Thursday reported second-quarter earnings of $4.88 billion. Let’s take a closer look at the June 2016 earnings estimates, particularly the things investors should pay close attention to.
Advertisement
Ruth Porat, the chief financial officer of Alphabet, said: “Our terrific second quarter results, with 21% revenue growth year on year, and 25% on a constant currency basis, reflect the successful investments we’ve made over many years in rapidly expanding areas such as mobile and video”.
He projects an 18% growth rate for Google Websites gross revenue, bringing it to $14.6 billion. Excluding certain items, Alphabet earned $8.42 a share, beating analysts’ estimates of $8.04 a share. That exceeded analysts’ average estimates of $8.03 a share, according to data compiled by Bloomberg.
The Mountain View, California-based company said it had net income of $7 per share.
While if we look at the Earnings Track Record, Alphabet Inc. Revenues reached $20.26B in the March 2016 quarter, which was lower than the consensus $20.37B projection.
In April this year, the social network reported adjusted first quarter earnings of 77 cents per share on revenue of about $5.38 billion, better than analyst expectations. (GOOGL) is getting stronger by the bullish sentiment (1.7 on a 5-point scale) that brokerage firms have issued concerning it. Wall Street analysts on the average recommend the company shares as Buy. Jefferies Group reissued a “buy” rating and set a $925.00 price target on shares of Alphabet in a research report on Monday, July 18th. Another noteworthy analyst activity was recorded on August 26, 2015. Finally, Atlantic Securities set a $850.00 target price on shares of Alphabet and gave the stock a “buy” rating in a research report on Friday, April 22nd.
Alphabet shares have fallen nearly 2 percent since the beginning of the year, while the Standard & Poor’s 500 index has increased 6 percent.
Advertisement
Post reiterated a buy rating on the stock this week and a $925 price target, saying newer ad products and traction from YouTube will help Alphabet tackle the tough comparisons with last year’s performance.
