Why These 15 Big-Cap Stocks Are Plunging So Far in 2025

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13. Alphabet Inc (NASDAQ:GOOGL)

Number of Hedge Fund Holders In Q4 2024: 234

Alphabet Inc (NASDAQ:GOOGL) doesn’t really need an introduction. It owns the world’s two biggest websites and also has a cloud business.

The stock is down significantly so far in 2025 as Alphabet’s Q4 2024 revenue of $96.47 billion fell short of analysts’ expectations of $96.56 billion. Although earnings per share exceeded projections, the company announced plans to spend $75 billion on AI-related capital expenditures in 2025.

This CapEx plan was seen as a bullish thing a few weeks ago, but the sentiment has reversed completely. Analysts forecasted $58.84 billion in CapEx and now think the increased AI spending could drive down margins.

Furthermore, growth in Alphabet’s core segments, including YouTube ads and Google Search, showed signs of deceleration year-over-year.

The consensus price target of $210.62 implies 23.22% upside.

GOOGL stock is down 9.71% year-to-date.

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