8. Alphabet Inc. (NASDAQ:GOOGL)
Number of Hedge Fund Holders as of Q4: 234
Adage Capital Management’s Equity Stake: $1.03 Billion
Alphabet Inc. (NASDAQ:GOOGL) reported robust fourth-quarter earnings, surpassing analyst expectations. The company posted earnings of $2.15 per share on revenue of $96.47 billion, against projections of $2.13 per share. This performance represented a notable increase from the previous year’s Q4 results, which stood at $1.64 per share on revenue of $86.3 billion. CFO Anat Ashkenazi highlighted that a significant portion of the company’s investments has been directed toward technical infrastructure, particularly in expanding its server and data center capabilities. CEO Sundar Pichai reinforced Alphabet’s commitment to innovation, announcing plans for approximately $75 billion in capital expenditures for 2025, with a strong emphasis on advancing generative AI. The company views artificial intelligence as a transformative opportunity to solidify its market presence, especially in cloud computing.
On March 12, 2025, Alphabet Inc. (NASDAQ:GOOGL)’s stock closed at $169.06, reflecting a 1.86% increase from the previous trading session. This gain outpaced the broader market’s daily rise of 0.49%, while the Nasdaq climbed 1.22%. Over the past month, Alphabet’s shares dropped 11.27%, performing slightly better than the Computer and Technology sector, which saw a 12.07% decline, but trailing the market’s 8.15% loss.
Investors are closely monitoring Alphabet Inc. (NASDAQ:GOOGL)’s financial performance ahead of its next earnings report. Projections estimate earnings per share at $2.04 for the quarter, marking a 7.94% rise compared to the same quarter in the prior year. Revenue for the quarter is expected to reach $75.67 billion, representing an 11.94% year-over-year increase. For the full fiscal year, consensus forecasts suggest Alphabet Inc. (NASDAQ:GOOGL) will achieve earnings of $8.89 per share, reflecting a 10.57% annual growth. Additionally, revenue is expected to reach $334.55 billion, an increase of 13.36% compared to the prior year. These estimates highlight the company’s continued financial momentum and its strategic investments in AI and technical infrastructure as key drivers of future growth.
Columbia Threadneedle Global Technology Growth Strategy stated the following regarding Alphabet Inc. (NASDAQ:GOOG) in its Q4 2024 investor letter:
“Alphabet Inc. (NASDAQ:GOOG) (parent company Alphabet) generated strong double-digit returns during the quarter, as the company’s tremendous innovation in AI, along with strength in its core business of search and advertising and a healthy focus on profit growth and shareholder friendly capital allocation, shifted investor focus away from ongoing litigation with the Department of Justice related to market dominance. In the month of December alone, Google released to the public Gemini 2.0, its most capable AI model yet, as well as new generative image and vision models. And if that was not enough, Google also announced progress in quantum computing. Once considered an AI laggard, the flurry of product announcements and AI development did not go unnoticed by the market and the stock reacted accordingly.”
