Alphabet Inc. · GOOG · FY2026 Q2 · Calendar Q3 2026

Alphabet Q2 2026: Cloud Surges 82%, Capex Raised to $195-205B as AI Demand Accelerates

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.

Reported After market closeNASDAQCommunication Services $3960.24B market cap
100quality score

Company context

Snapshot as of publication

Alphabet Inc. operates globally, providing a wide array of products and digital platforms to customers across the United States, Europe, the Middle East, Africa, the Asia-Pacific region, Canada, and Latin America. The company's business is organized into three primary segments: Google Services, Google Cloud, and Other Bets. The Google Services division delivers a broad spectrum of consumer-facing offerings, which include its advertising products, the Android operating system, Chrome browser, various hardware devices, Gmail, Google Drive, Google Maps, Google Photos, Google Play, Search functionality, and YouTube.…

Earnings scorecard

Reported versus consensus
Reported EPS $9.11 Consensus $3
EPS surprise +217.4% Reported versus consensus
Reported revenue $119.80B Consensus $116.53B
Revenue surprise +2.8% Reported versus consensus

Earnings History

Estimate Beat Miss Match
GOOG EPS earnings history estimate and actual scatter chart 9 reported fiscal quarters and 4 future estimate-only quarters. Q1 '24 estimate $1.51 Q1 '24 actual $1.89, beat Q2 '24 estimate $1.84 Q2 '24 actual $1.89, beat Q3 '24 estimate $1.85 Q3 '24 actual $2.12, beat Q2 '25 estimate $2.18 Q2 '25 actual $2.31, beat Q3 '25 estimate $2.30 Q3 '25 actual $2.87, beat Q4 '25 estimate $2.63 Q4 '25 actual $2.82, beat Q1 '26 estimate $2.68 Q1 '26 actual $5.11, beat Q2 '26 estimate $2.87 Q2 '26 actual $9.11, beat Q3 '26 estimate $3.02 Q4 '26 estimate $3.35 Q1 '27 estimate $3.45 Q2 '27 estimate $3.61
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Analyst Consensus ?

ConsensusBuy77 ratings
Bullish6888.3%
Neutral810.4%
Bearish11.3%

Analyst 52W Price Targets

$345.36Current
$115Low
$297.03Average
$515High

Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Aug 24, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
TD Cowen Buy BuyMaintainJul 23, 2026
Oppenheimer Outperform OutperformMaintainJul 23, 2026
JP Morgan Overweight OverweightMaintainJul 23, 2026
Scotiabank Sector Outperform Sector OutperformMaintainApr 30, 2026
UBS Neutral NeutralMaintainFeb 12, 2026
Raymond James Strong Buy OutperformUpgradeJan 22, 2026
Pivotal Research Buy BuyMaintainDec 5, 2025
B of A Securities Buy BuyMaintainAug 5, 2025
WestPark Capital Buy BuyMaintainApr 25, 2025
Keybanc Overweight OverweightMaintainApr 9, 2025
Wells Fargo Equal Weight Equal WeightMaintainOct 30, 2024
Seaport Global Buy NeutralUpgradeOct 30, 2024
Jefferies Buy BuyMaintainOct 30, 2024
Citigroup Buy BuyMaintainOct 30, 2024
Canaccord Genuity Buy BuyMaintainOct 30, 2024
Barclays Overweight OverweightMaintainOct 30, 2024
Stifel Buy BuyMaintainApr 16, 2024
Morgan Stanley Overweight OverweightMaintainApr 11, 2024
Wedbush Outperform OutperformMaintainMar 22, 2024
Susquehanna Positive PositiveMaintainJan 31, 2024
Tigress Financial Strong Buy Strong BuyMaintainNov 21, 2023
Piper Sandler Overweight OverweightMaintainOct 25, 2023
Roth MKM Buy BuyMaintainOct 24, 2023
Rosenblatt Buy BuyMaintainOct 24, 2023
RBC Capital Outperform OutperformMaintainOct 24, 2023
Needham Buy BuyMaintainOct 24, 2023
Monness, Crespi, Hardt Neutral BuyDowngradeOct 24, 2023
JMP Securities Market Outperform Market OutperformMaintainOct 24, 2023
Loop Capital Hold HoldMaintainAug 17, 2023
Evercore ISI Group Outperform OutperformMaintainJul 25, 2023
Credit Suisse Outperform OutperformMaintainJul 25, 2023
Wolfe Research Outperform OutperformMaintainJul 7, 2023
Goldman Sachs Buy BuyMaintainJul 3, 2023
New Street Research Buy BuyMaintainJun 30, 2023
Bernstein Outperform OutperformMaintainJun 29, 2023
Truist Securities Buy BuyMaintainJun 28, 2023
MKM Partners Buy BuyMaintainJun 27, 2023
Exane BNP Paribas Outperform NeutralUpgradeJun 27, 2023
Deutsche Bank Buy BuyMaintainApr 26, 2023
Baird Outperform OutperformMaintainApr 26, 2023
Cowen & Co. Outperform OutperformMaintainJan 11, 2023
Societe Generale Buy BuyMaintainNov 30, 2022
Mizuho Buy BuyMaintainNov 30, 2022
BMO Capital Outperform OutperformMaintainApr 27, 2022
Argus Research Buy BuyMaintainJul 29, 2021
China Renaissance Buy HoldUpgradeMay 3, 2021
SunTrust Robinson Humphrey Buy BuyMaintainJul 16, 2020
Nomura Instinet Buy BuyMaintainApr 29, 2020
Nomura Buy BuyMaintainApr 28, 2020
CFRA Strong Buy Strong BuyMaintainFeb 6, 2020
DZ Bank Hold BuyDowngradeApr 30, 2019
PiperJaffray Overweight OverweightMaintainFeb 5, 2019
B. Riley Securities Buy BuyMaintainJul 23, 2018
B. Riley FBR Buy BuyMaintainMay 5, 2018
Bank of America Buy BuyMaintainJul 25, 2017
CLSA Buy BuyMaintainJul 28, 2016
Maxim Group Overweight OverweightMaintainJun 7, 2016
Macquarie Buy BuyMaintainApr 21, 2016
Cantor Fitzgerald Buy BuyMaintainApr 21, 2016
Pacific Crest Overweight OverweightMaintainOct 23, 2015
Atlantic Equities Overweight NeutralUpgradeAug 19, 2015
Stifel Nicolaus Buy HoldUpgradeAug 11, 2015
Monness Crespi Hardt Buy NeutralUpgradeAug 11, 2015
CRT Capital Buy BuyMaintainApr 23, 2015
Topeka Capital Buy BuyMaintainOct 17, 2014
Topeka Buy BuyMaintainOct 17, 2014
FBR Capital Outperform OutperformMaintainOct 16, 2014
Hudson Square Buy HoldUpgradeOct 13, 2014
FBN Securities Outperform OutperformMaintainJan 31, 2014
Evercore Partners Overweight OverweightMaintainJun 14, 2013
BGC FInancial Hold HoldMaintainApr 19, 2013
Hilliard Lyons Neutral Long Term BuyDowngradeFeb 6, 2013
Oracle Investment Research Sell NeutralDowngradeFeb 5, 2013
ThinkEquity Buy BuyMaintainOct 11, 2012
Capstone Buy BuyMaintainSep 25, 2012
Global Equities Research Overweight OverweightMaintainSep 17, 2012
Benchmark Hold HoldMaintainJul 20, 2012
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Named analyst price targets

Upside is calculated against the persisted current price $345.36. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
HSBCAnalyst unavailable$515$343.94 +49.1%Aug 14, 2026
MacquarieAnalyst unavailable$515$318.34 +49.1%Jul 24, 2026
D.A. DavidsonGil Luria$350$315.62 +1.3%Jul 23, 2026
Canaccord GenuityMaria Ripps$450$341.91 +30.3%Jul 23, 2026
Cantor FitzgeraldDeepak Mathivanan$420$341.91 +21.6%Jul 23, 2026
Rosenblatt SecuritiesBarton Crockett$393$341.91 +13.8%Jul 23, 2026
OppenheimerJason Helfstein$400$341.91 +15.8%Jul 23, 2026
UBSStephen Ju$379$341.91 +9.7%Jul 23, 2026
Piper SandlerRoss Sandler$425$341.91 +23.1%Jul 23, 2026
OppenheimerAnalyst unavailable$515$341.91 +49.1%Jul 23, 2026
Wolfe ResearchShweta Khajuria$460$341.91 +33.2%Jul 23, 2026
UBSAnalyst unavailable$430$370.21 +24.5%Jul 16, 2026
KeyBancAnalyst unavailable$445$353.13 +28.9%Jul 10, 2026
Wells FargoAnalyst unavailable$416$357.89 +20.5%Jul 2, 2026
Wells FargoKen Gawrelski$435$372.58 +26.0%Jun 2, 2026
Truist FinancialYoussef Squali$430$371.2 +24.5%Jun 1, 2026
Wells FargoAnalyst unavailable$515$376.43 +49.1%Jun 1, 2026
Goldman SachsEric Sheridan$450$384.9 +30.3%May 21, 2026
Stifel NicolausMark Kelley$420$384.9 +21.6%May 20, 2026
OppenheimerJason Helfstein$445$397.17 +28.9%May 15, 2026
ScotiabankAnalyst unavailable$450$371.77 +30.3%Apr 30, 2026
Raymond JamesAnalyst unavailable$425$367.13 +23.1%Apr 30, 2026
OppenheimerJason Helfstein$425$367.03 +23.1%Apr 30, 2026
Truist FinancialYoussef Squali$385$337.73 +11.5%Apr 22, 2026
NeedhamLaura Martin$400$303.21 +15.8%Mar 13, 2026
UBSStephen Ju$348$310.78 +0.8%Feb 12, 2026
ScotiabankAnalyst unavailable$400$323.46 +15.8%Feb 5, 2026
BMO CapitalBrian Pitz$400$323.75 +15.8%Feb 5, 2026
Piper SandlerThomas Champion$395$319.39 +14.4%Feb 5, 2026
KeyBancJustin Patterson$370$323.02 +7.1%Feb 5, 2026
WedbushScott Devitt$370$323.19 +7.1%Feb 5, 2026
BernsteinMark Shmulik$345$324.04 -0.1%Feb 5, 2026
OppenheimerJason Helfstein$360$333.34 +4.2%Feb 5, 2026
Pivotal ResearchJeffrey Wlodarczak$420$333.34 +21.6%Feb 5, 2026
KeyBancJustin Patterson$360$333.31 +4.2%Jan 26, 2026
Raymond JamesStrong Buy$400$328.38 +15.8%Jan 22, 2026
Deutsche BankBenjamin Black$370$330.34 +7.1%Jan 20, 2026
RBC CapitalBrad Erickson$375$333.6 +8.6%Jan 15, 2026
ScotiabankAnalyst unavailable$375$330.59 +8.6%Jan 9, 2026
JefferiesBrent Thill$365$315.32 +5.7%Jan 5, 2026
Truist FinancialYoussef Squali$350$320.79 +1.3%Dec 5, 2025
Pivotal ResearchJeffrey Wlodarczak$400$318.39 +15.8%Dec 5, 2025
GuggenheimMichael Morris$375$320.12 +8.6%Dec 1, 2025
D.A. DavidsonGil Luria$300$321.34 -13.1%Nov 25, 2025
UBSStephen Ju$306$283.77 -11.4%Oct 30, 2025
Cantor FitzgeraldDeepak Mathivanan$310$289.1 -10.2%Oct 30, 2025
ScotiabankNat Schindler$336$289.1 -2.7%Oct 30, 2025
Seaport GlobalAaron Kessler$330$289.66 -4.4%Oct 30, 2025
KeyBancJustin Patterson$330$289.1 -4.4%Oct 30, 2025
UBSAnalyst unavailable$335$289.1 -3.0%Oct 30, 2025
Rosenblatt SecuritiesBarton Crockett$279$289.4 -19.2%Oct 30, 2025
OppenheimerJason Helfstein$345$275.17 -0.1%Oct 30, 2025
Mizuho SecuritiesLloyd Walmsley$325$275.17 -5.9%Oct 30, 2025
BMO CapitalBrian Pitz$340$275.17 -1.6%Oct 30, 2025
HSBCPaul Rossington$335$275.17 -3.0%Oct 30, 2025
Canaccord GenuityMaria Ripps$330$275.17 -4.4%Oct 30, 2025
D.A. DavidsonGil Luria$825$260.51 +138.9%Oct 27, 2025
Raymond JamesJosh Beck$275$260.95 -20.4%Oct 24, 2025
OppenheimerAnalyst unavailable$300$253.79 -13.1%Oct 20, 2025
ScotiabankNat Schindler$310$255.54 -10.2%Oct 16, 2025
UBSStephen Ju$255$243.56 -26.2%Oct 9, 2025
KeyBancAnalyst unavailable$265$211.99 -23.3%Sep 3, 2025
Raymond JamesJosh Beck$185$192.11 -46.4%Jul 22, 2025
OppenheimerAI Overviews$220$178.67 -36.3%Jul 9, 2025
Goldman SachsEric Sheridan$220$170.31 -36.3%Jun 2, 2025
Cantor FitzgeraldDeepak Mathivanan$171$161.47 -50.5%Apr 25, 2025
Cantor FitzgeraldDeepak Mathivanan$200$166.28 -42.1%Mar 19, 2025
JMP SecuritiesAndrew Boone$220$176.14 -36.3%Oct 30, 2024
OppenheimerJason Helfstein$215$181.41 -37.7%Oct 30, 2024
Seaport GlobalAaron Kessler$200$171.14 -42.1%Oct 30, 2024
WedbushScott Devitt$205$168.34 -40.6%Oct 28, 2024
ScotiabankNat Schindler$212$164.68 -38.6%Oct 11, 2024
UBSStephen Ju$187$167.42 -45.9%Oct 7, 2024
OppenheimerJason Helfstein$185$163.64 -46.4%Sep 25, 2024
NeedhamLaura Martin$210$162.03 -39.2%Aug 14, 2024
Goldman SachsEric Sheridan$195$177.71 -43.5%May 22, 2024
Stifel NicolausMark Kelley$174$156 -49.6%Apr 16, 2024
Seaport GlobalAaron Kessler$182.5$70 -47.2%Oct 24, 2023
Loop Capital MarketsJustin Patterson$145$129.55 -58.0%Jul 26, 2023
Wells FargoKen Gawrelski$117$122.67 -66.1%Jun 8, 2023
Credit SuisseStephen Ju$135$125.09 -60.9%May 30, 2023
JMP SecuritiesAndrew Boone$132$121.35 -61.8%May 24, 2023
OppenheimerJason Helfstein$145$117.88 -58.0%May 11, 2023
Rosenblatt SecuritiesBarton Crockett$132$104.55 -61.8%Apr 26, 2023
Credit SuisseStephen Ju$136$101.32 -60.6%Mar 30, 2023
Cowen & Co.Analyst unavailable$125$91.47 -63.8%Jan 11, 2023
Tigress FinancialAnalyst unavailable$160$88.16 -53.7%Jan 6, 2023
New StreetAnalyst unavailable$118$89.7 -65.8%Jan 4, 2023
NeedhamAnalyst unavailable$115$88.38 -66.7%Dec 22, 2022
Mizuho SecuritiesJames Lee$135$99.65 -60.9%Nov 30, 2022
Morgan StanleyAnalyst unavailable$120$98.78 -65.3%Nov 15, 2022
Deutsche BankBenjamin Black$120$94.17 -65.3%Nov 11, 2022
RBC CapitalBrad Erickson$130$104.93 -62.4%Oct 26, 2022
KeyBancJustin Patterson$120$104.93 -65.3%Oct 25, 2022
Piper SandlerBrent Bracelin$156$51.49 -54.8%Oct 25, 2022
Loop Capital MarketsJustin Patterson$125$112.54 -63.8%Jul 27, 2022
Evercore ISIMark Mahaney$155.5$111.53 -55.0%Jul 14, 2022
MonnessBrian White$145$114.85 -58.0%Jul 13, 2022
UBSLloyd Walmsley$132.5$107.87 -61.6%Jun 20, 2022
Goldman SachsEric Sheridan$150$111.43 -56.6%Jun 11, 2022
JefferiesBrent Thill$155$107.86 -55.1%May 26, 2022
Piper SandlerThomas Champion$145$115.02 -58.0%Apr 28, 2022
Mizuho SecuritiesJames Lee$175$115.02 -49.3%Apr 27, 2022
Deutsche BankAnalyst unavailable$145$115.02 -58.0%Apr 27, 2022
Canaccord GenuityAnalyst unavailable$165$115.98 -52.2%Apr 27, 2022
JefferiesAnalyst unavailable$170$116.71 -50.8%Apr 27, 2022
Morgan StanleyAnalyst unavailable$163.5$115.61 -52.7%Apr 27, 2022
Stifel NicolausAnalyst unavailable$155$115.43 -55.1%Apr 27, 2022
Raymond JamesAnalyst unavailable$159$119.51 -54.0%Apr 27, 2022
BarclaysAnalyst unavailable$160$119.51 -53.7%Apr 27, 2022
UBSAnalyst unavailable$180$119.51 -47.9%Apr 27, 2022
BMO CapitalAnalyst unavailable$150$119.51 -56.6%Apr 27, 2022
Rosenblatt SecuritiesBarton Crockett$209.15$119.61 -39.4%Apr 24, 2022
Credit SuisseAnalyst unavailable$172.5$128.25 -50.1%Apr 21, 2022
CitigroupAnalyst unavailable$175$130.53 -49.3%Apr 20, 2022
Stifel NicolausScott Devitt$175$143.02 -49.3%Feb 6, 2022
WedbushYgal Arounian$190$143.02 -45.0%Feb 4, 2022
Robert W. BairdColin Sebastian$160$137.88 -53.7%Feb 1, 2022
GuggenheimMichael Morris$150$129.24 -56.6%Jan 26, 2022
Bank of America SecuritiesJustin Post$173.5$130.09 -49.8%Jan 22, 2022
Cowen & Co.John Blackledge$175$139.79 -49.3%Jan 17, 2022
Morgan StanleyBrian Nowak$150$146.43 -56.6%Oct 27, 2021
OppenheimerJason Helfstein$175$146.43 -49.3%Oct 27, 2021
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Market reaction

event-close to next-session close
Stock move -6.9% Event window
SPY move -1.2% Same window
Abnormal move -5.7% Stock minus SPY
Volume 2.1× Versus trailing sessions
Subsequent drift +2.6% Up to 20 sessions
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Transcript intelligence

What changed

From Q1 to Q2, Cloud revenue growth accelerated from 63% to 82% YoY and the Cloud backlog grew from $462B to a record $514B. Capex guidance was raised for the second consecutive quarter, from $180-190B to $195-205B. Alphabet recognized its first revenue from TPU system sales, with the bulk expected in 2027. Gemini token usage reached 22 billion tokens per month, and management disclosed that nearly 90% of the Fortune 100 now uses Gemini Enterprise. Operating margin in Cloud reached 35.6%. Despite the broad-based beat, the stock declined 5.7% on an abnormal basis with 2.1x normal volume before drifting back up 2.6% in subsequent sessions.

Guidance delta

Management raised full-year 2026 capex guidance to $195-205 billion, up from $180-190 billion in Q1. Guidance sentiment was maintained. The company signaled further capex increases for 2027, citing supply-constrained AI infrastructure demand. TPU system sales revenue was recognized for the first time, with the bulk expected in 2027, implying a multi-year ramp in AI infrastructure monetization.

Key takeaways

  • Revenue grew 24% YoY to $119.8B, beating consensus by 2.8%; EPS of $9.11 crushed the $2.87 estimate.
  • Cloud revenue surged 82% YoY with operating margin at 35.6%, and backlog hit a record $514B.
  • Capex guidance raised to $195-205B (from $180-190B), with further 2027 increases signaled.
  • Gemini Enterprise adoption deepening: nearly 90% of Fortune 100 onboard, 22B tokens per month.
  • First TPU system sales revenue recognized; bulk expected in 2027.
  • Shares fell 5.7% on an abnormal basis despite the beat, with 2.1x normal volume.

Management priorities

  • Scale Gemini Enterprise adoption and expand token-based billing
  • Develop and launch Gemini 4, the next-generation foundation model
  • Increase third-party compute capacity as a bridge while building internal AI hardware
  • Roll out additional AI security features and Google AI threat defense
  • Expand Waymo rider program, Wing delivery milestones, and Isomorphic Labs drug-discovery platform

Related earnings events

Communication Services

Sources

  1. Earnings call transcript and parsed analysis · 2026-07-23T01:05:30.531542+00:00
  2. FN2 earnings calendar · 2026-07-28T01:23:15.070317+00:00
  3. Polygon adjusted daily market bars · 2026-07-28T04:42:33.332334+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-07-28T04:42:33.329853+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated . For educational purposes only; not investment advice.