Alphabet Class C ( (GOOG) ) has been popular among investors this week. Here is a recap of the key news on this stock.
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Alphabet Class C has seen its stock surge by approximately 15% over the past week, reaching new all-time highs at $240. This rise is attributed to a robust Q2 earnings report and a favorable court ruling that allows Google to avoid a potential breakup of its business units. Despite the stock’s impressive performance, the company’s Gemini product is still not fully capitalizing on its revenue potential. However, the bullish sentiment around Alphabet is fueled by its AI investments, which have significantly boosted Google Cloud’s revenue and operating income margins, indicating a shift from high investment to profitability.
In addition to its financial successes, Alphabet faces challenges in Europe, where it has been fined €2.95 billion for alleged anti-competitive practices in its online advertising business. The European Commission’s decision, which Google plans to appeal, highlights ongoing regulatory pressures. Meanwhile, U.S. President Donald Trump has criticized the fine, suggesting potential trade tensions. Despite these challenges, Alphabet’s aggressive AI investments and the growing adoption of its Gemini product suggest a promising future, with analysts maintaining a ‘Strong Buy’ consensus for the stock.