Alphabet Stock Drops 12% But Cloud Growth and Valuation Support Buy Rating

seekingalpha.com —

Alphabet shares fell 12% in its worst trading day, yet analysts maintain a Buy rating with a $325 price target, suggesting 15% upside. The drop stemmed from a non-operating earnings miss, slower Search growth at 12%, and negative free cash flow, though Cloud revenue doubled with a $561B backlog. At 18x core earnings, the stock appears priced for bear-case risks, with concerns largely reflected in valuation, favoring gradual accumulation over immediate action.


With a significance score of 1, this news ranks in the top 61% of today's 29608 analyzed articles.

Get summaries of news with significance over 5.5 (usually ~10 stories per week). Read by 10,000+ subscribers: