Bearish
Alphabet's (GOOGL) stock drops nearly 5% after-hours as 2026 capex raised to $205B
Alphabet's stock experienced significant after-hours volatility following the announcement of its Q2 earnings and an increase in capital expenditure (capex) guidance. While the company reported strong earnings and revenue, the raised capex forecast for 2026 led to investor concerns, resulting in a nearly 5% drop in after-hours trading.
Key points
- Q2 revenue increased by 24% year-over-year to $119.8 billion, surpassing expectations of $117 billion.
- Earnings per share reached $9.11, significantly exceeding the anticipated $2.91.
- Capital expenditure guidance for 2026 was raised to $205 billion, up from the previous estimate of $180 billion to $190 billion, raising concerns about increased spending.
- Google's AI infrastructure, Gemini, now has 950 million monthly active users, with over 90% of Fortune 500 companies subscribing to its services.
Sources
- GOOGL Drops Nearly 5% After-Hours — Alphabet Hikes 2026 Capex Spending To $205B, Sees Higher Spending In 2027TradingView News · September 19, 2026
- Alphabet (GOOGL) Stock Up 3% as Cloud Growth Offsets Capex FearsCoinCentral · August 2026
- Alphabet (GOOGL) Stock Price & OverviewStockAnalysis · September 19, 2026
- Alphabet Inc. (GOOGL) Stock Price, News, Quote & HistoryYahoo Finance · September 19, 2026
AI-generated from public news sources. Not financial advice.
