GOOG
FY2026 Q2 · Calendar Q3 2026
Alphabet Inc.
Alphabet crushed earnings estimates with 24% revenue growth and a massive EPS beat, driven by accelerating Cloud demand (82% YoY) and deepening Gemini AI adoption. Yet shares fell 5.7% on an abnormal basis as the company raised its 2026 capex guidance to $195-205 billion, up from $180-190 billion just one quarter ago. The market is grappling with the tension between extraordinary AI-driven growth and the rising capital intensity required to sustain it. With a record $514B Cloud backlog and nearly 90% of Fortune 100 companies using Gemini Enterprise, the demand signals are strong; the question is whether the returns on that capital will materialize fast enough.
EPS surprise+217.4%
Market move-6.9%
