Its earnings came in at $9.11 per share, surpassing expectations of $2.91 per share, primarily on account of a surprise $99 billion in equity securities gains, compared to $1.2 billion posted in the same quarter last year.\u00a0 <\/p>\n
Google shares initially fell on the results in after-hours trading before moving back into positive territory.\u00a0At the time of writing, the stock was back in negative territory, down 4.9%. <\/p>\n
Google Hikes 2026 Capex To $205B\u00a0 <\/p>\n
In the quarter ending June, capex jumped 100% to $44.92 billion, bringing the total capex spent so far this year to $78.6 billion. Moving to investments, Alphabet is updating its full-year 2026 CapEx guidance range to $195 to $205 billion, up from the previous estimate of 180 to $190 billion. <\/p>\n
“The increase in the range is primarily due to an acceleration in the delivery of capacity to meet growing demand, as we previously shared, we continue to expect our CapEx to increase significantly in 2027,” as per the company’s earnings call.\u00a0 <\/p>\n
Investors are becoming increasingly skittish about the soaring capital expenditures of hyperscalers and if the overall AI demand can absorb these soaring costs.\u00a0 <\/p>\n
Google’s AI infrastructure Gemini saw 950 million monthly active users, with over 90% of Fortune 500 companies subscribing to Gemini services.\u00a0 <\/p>\n While Google’s cloud, advertising and search revenues soared above expectations, cementing its cash flows as the company plans to spend about $190 billion in capital expenditures in 2026. The tech industry has committed billions of dollars to data centers and other AI offerings, and investors are looking for signs that the spending will pay off big.\u00a0 <\/p>\n Google Cloud’s backlog increased by more than $50 billion sequentially, reaching $514 billion in the second quarter. The increase was driven by strong demand for enterprise AI offerings\u00a0 <\/p>\n Google shares initially fell on the results in after-hours trading before moving back into positive territory and were last down 3% at the time of writing. <\/p>\n GOOGL Stock: Retail View\u00a0 <\/p>\n Retail sentiment was ‘extremely bullish’ with ‘high’ message volumes.\u00a0 <\/p>\n One user highlighted that capex spending is going to affect financials at a time when Chinese players are creating similar products at a lower price.\u00a0 <\/p>\n GOOGL stock has gained 9.3% year-to-date.\u00a0 <\/p>\n For updates and corrections, email newsroom[at]stocktwits[dot]com. <\/p>\n Shashank Nayar has no position in any of the stocks mentioned in this article. StockTwits’ news team content is for informational purposes only and is not intended as investment advice. For more, see our editorial policy<\/a>. This article was originally published on StockTwits<\/a>. <\/p>\n Related: <\/p>\n","protected":false},"excerpt":{"rendered":"Alphabet revenues increased 24% year-on-year to $119.8 billion, beating expectations of $117 billion.\u00a0 Records earnings of $9.11 per…\n","protected":false},"author":2,"featured_media":114846,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[24,1483,42323,15267,132,1429],"class_list":["post-115839","post","type-post","status-publish","format-standard","has-post-thumbnail","category-google","tag-ai","tag-alphabet","tag-equity-securities","tag-expectations","tag-google","tag-google-ai"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/115839","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/comments?post=115839"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/115839\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media\/114846"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media?parent=115839"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/categories?post=115839"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/tags?post=115839"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}<\/a> Screenshot 2026-07-23 024722.png Gemini Users Are Surging <\/p>\n