Google Shines In Q3 Earnings Beating Expectations But Falls 11% Amid Stock Volatility!

• Alphabet, Google's parent company, reported impressive Q3 earnings that exceeded expectations this week.
• The company's earnings per share (EPS) reached $1.55, surpassing the forecasted $1.45.
• Google's substantial $76.6 billion in sales during the quarter reflects its market dominance and operational efficiency.
• Despite the strong earnings, Alphabet's stock experienced a notable decline, falling by 11.8% since the earnings announcement.

Alphabet Inc Class A (NASDAQ: GOOGL), the parent company of Google, exceeded expectations with its impressive Q3 earnings, demonstrating its strong financial position.

The tech giant's earnings per share reached $1.55, surpassing the projected $1.45.

Their market dominance and operational efficiency are evident in its impressive $76.6 billion in sales.

A substantial $59.6 billion of these sales comes from advertising, highlighting their unrivaled proficiency in the digital advertising space.

Alphabet's impressive earnings couldn't save its stock from plummeting. The value dropped by 9.5% initially, and the decline continued with an additional 2.65% drop the next day. The stock has decreased by 11.8% since the earnings announcement.

The stock price has reached a significant support level at $122, which was formed from the high of August 2022.

This level is crucial and could boost the stock upward. If the support level holds firm and the stock price bounces back up, it could increase the current yearly gain of 36%.

October has seen a 6.6% decrease in stock value so far, primarily caused by the recent declines.

One of the contributing factors is the underperformance of Google's cloud business, which did not meet market expectations.

However, the overall strong performance of the business indicates that this decline may only be a temporary setback.

Investors should pay attention to how the stock performs if it reaches the $141 level, as this represents the October high.

If the stock breaks above this level, it could indicate a continued upward trend and a positive outlook for the stock in the months ahead.

After the closing bell on Thursday, October 26, the stock closed at $122.28, trading down by 2.65%.