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Alphabet (GOOGL) Rallies on Q1 Earnings Beat, Solid Ad Sales
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Alphabet Inc. (GOOGL - Free Report) just released its first-quarter fiscal 2017 financial results, posting earnings of $7.73 per share and revenues of $24.506 billion. Currently, GOOGL is a #2 (Buy) on the Zacks Rank, and is up 5% to $936.60 per share in trading shortly after its earnings report was released.
Beat earnings estimates. The company reported diluted earnings of $7.73 per share, surpassing the Zacks Consensus Estimate of $7.48 per share.
Beat revenue estimates. The company saw revenue figures of $24.506 billion. Taking out commissions of $4.008 billion paid to Google Network Members, Alphabet posted revenues of $20.12 billion, beating our consensus estimate of $19.650 billion.
Operating income came in at $6.568 billion for the quarter, while operating margin was 27%, both showing increases from the first quarter of fiscal 2016.
In Q1, Alphabet reported an increase in aggregate paid clicks of 44%. Aggregate cost-per-clicks came in at a loss of 19% for the quarter. Alphabet refined its methodology for paid clicks and cost-per-click “to include additional categories of TrueView engagement ads and exclude non-engagement based trial ad formats, resulting in a modest increase in paid clicks and a modest decrease in cost-per-click.”
"Our excellent results represent a terrific start to 2017, with revenues up 22% versus the first quarter of 2016 and 24% on a constant currency basis. We clearly continue to benefit from our ongoing investments in product innovation and have great momentum in our new businesses across Alphabet," said Ruth Porat, CFO of Alphabet.
Here’s a graph that looks at Alphabet’s price, consensus, and EPS surprise:
Alphabet Inc. provides web-based search, advertisements, maps, software applications, mobile operating systems, consumer content, enterprise solutions, commerce and hardware products through its subsidiaries. Alphabet Inc., formerly known as Google Inc., is headquartered in Mountain View, California.
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Alphabet (GOOGL) Rallies on Q1 Earnings Beat, Solid Ad Sales
Alphabet Inc. (GOOGL - Free Report) just released its first-quarter fiscal 2017 financial results, posting earnings of $7.73 per share and revenues of $24.506 billion. Currently, GOOGL is a #2 (Buy) on the Zacks Rank, and is up 5% to $936.60 per share in trading shortly after its earnings report was released.
Beat earnings estimates. The company reported diluted earnings of $7.73 per share, surpassing the Zacks Consensus Estimate of $7.48 per share.
Beat revenue estimates. The company saw revenue figures of $24.506 billion. Taking out commissions of $4.008 billion paid to Google Network Members, Alphabet posted revenues of $20.12 billion, beating our consensus estimate of $19.650 billion.
Operating income came in at $6.568 billion for the quarter, while operating margin was 27%, both showing increases from the first quarter of fiscal 2016.
In Q1, Alphabet reported an increase in aggregate paid clicks of 44%. Aggregate cost-per-clicks came in at a loss of 19% for the quarter. Alphabet refined its methodology for paid clicks and cost-per-click “to include additional categories of TrueView engagement ads and exclude non-engagement based trial ad formats, resulting in a modest increase in paid clicks and a modest decrease in cost-per-click.”
"Our excellent results represent a terrific start to 2017, with revenues up 22% versus the first quarter of 2016 and 24% on a constant currency basis. We clearly continue to benefit from our ongoing investments in product innovation and have great momentum in our new businesses across Alphabet," said Ruth Porat, CFO of Alphabet.
Here’s a graph that looks at Alphabet’s price, consensus, and EPS surprise:
Alphabet Inc. Price, Consensus and EPS Surprise
Alphabet Inc. Price, Consensus and EPS Surprise | Alphabet Inc. Quote
Alphabet Inc. provides web-based search, advertisements, maps, software applications, mobile operating systems, consumer content, enterprise solutions, commerce and hardware products through its subsidiaries. Alphabet Inc., formerly known as Google Inc., is headquartered in Mountain View, California.
Zacks’ Hidden Trades
While we share many recommendations and ideas with the public, certain moves are hidden from everyone but chosen members of our portfolio services. Would you like to peek behind the curtain today and view them?
Starting today, and for the next month, you can follow all Zacks’ private buys and sells in real time. Our experts cover all kinds of trades: value, momentum, ETFs, stocks under $10, stocks that corporate insiders are buying up, and companies that are about to report positive earnings surprises. You can even look inside portfolios so exclusive that they are normally closed to new investors. Click here for Zacks’ secret trades>>