Google’s Parent Company Alphabet (NASDAQ:GOOGL) Inc Is Scheduled To Announce Its Earnings Result After Today’s Close.
Tech giant Alphabet Inc’s is anticipated to deliver its fiscal fourth-quarter earnings report after Thursday’s closing bell.
Analysts’ forecasts
Estimize analysts are expecting Google to announce earnings per share (EPS) of $9.76, which is roughly 12% higher than the same quarter in the previous year. Meanwhile, revenue for this quarter is estimated to grow 20% to $20.63 billion, ex-TAC, marking eight straight quarters of double digit growth. Meanwhile, Wall Street analysts expect revenue to rise to a bigger $25.2 billion, up 18% year-on-year and adjusted EPS is forecasted to turn out $9.67.
On average, analysts are projecting Alphabet to report fourth-quarter revenue and non-GAAP EPS of $25.18 billion and 9.64, respectively.
What to watch out for: Paid Clicks
Investors may want to take the time to look at the trajectory of the tech giant's paid clicks and cost per click – two important metrics for Alphabet's core search business.
What to watch out for: Hardware
Besides figures, investors should be looking forward to more details and information with Alphabet’s hardware sector. While majority of the company's revenue will still come from its search and advertising business, a high-performing hardware could indicate great growth potential.
Last quarter results will show the first time Google considerably accelerated its hardware efforts. The tech titan’s first-ever phone, the Google Pixel, sprang to universally positive reviews, but has struggled to meet demand. Google also released Google Home, a worthy Amazon (NASDAQ:AMZN) Echo rival, and Daydream View, a virtual-reality headset for Pixel, and a small number of other Android phones.
This was merely the first step in Google's goal to become a hardware company and piece together the divided world of mobile devices using different versions of its Android software.
As the hardware effort begins to gain momentum, Google may give more details about the sales of its growing catalog of devices.
What to watch out for: Other Bets
Outside of Google’s core business are Alphabet's Other Bets. These are the separate companies exploring grand new businesses, from self-driving cars to drones. There has been a lot of commotion throughout the Other Bets companies in recent months, as the tech company closes some of the projects and tries to keep costs in line.
Alphabet's Other Bets delivered $197 million in revenue and an operating loss of $840 million during the third quarter in the prior year. Naturally, investors will be searching for indications of progress in some of these businesses, an update from Alphabet on its commitment and broader strategy for these Other Bets in the wake of the latest changes.
Reportedly, Alphabet is also exploring a sale of Skybox, a satellite imaging company it purchased almost three years ago for $500 million.
Additionally last December, Alphabet's self-driving car project spun out of X into its own company called Waymo, with a goal to partner with car companies and provide them with the technology required for self-driving cars. Waymo has already struck a deal with Chrysler.
GOOGL stock
The GOOGL stock hit a nearly 25-month peak in the last session—the highest level since its steep drop back in March 2014. Shares jumped roughly 1.45% or $11.80 to $835.55 on Tuesday’s close. It even continued with a meager push higher in afterhours and premarket trading. On the chart, Google is marking a strong bullish uptick for three consecutive sessions while currently in a breakout.
Over the course of 2014 until the end of 2016, the stock has been climbing steadily. Shares of Alphabet have already increased about 8% already this year.