Home Broker News Alphabet is under Investors’ Radar Today

Alphabet is under Investors’ Radar Today

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This earnings season is considered the most significant earnings season of the year and there many important events taking place during it to shift investor perspective away from fundamentals. The excitement over GameStop (NYSE:GME) and related heavily-shorted stocks is the market sensation right now that simply can’t be ignored.

The rally was prompted by retail investors who placed themselves on social media channels, e.g., Reddit, to spot stocks that hedge funds are inspiring to sell, and then bidding up their values to come up with an abrupt squeeze.

This so-called rebel of retail investors against Wall Street gained more popularity during the past week when Tesla (NASDAQ:TSLA) founder Elon Musk inspired the GameStop rush by tweeting “Gamestonk!!” and adding a link to the WallStreetBets Reddit thread. Musk had long asked the SEC to forbid short-selling, a practice which once harmed Tesla shares.

This exciting social-media campaign run by inspired retail investors would most surely affect the markets in the upcoming week when many big stocks will also share their earnings. Here is the stock traders should keep an eye on as the week unfolds:

Alphabet

Alphabet (NASDAQ:GOOGL) will be announcing its Q4 earnings on Tuesday, Feb. 2nd after the market closes. Majorly, analysts predict EPS of $15.7 on revenue of $52.89 billion.

Google shares have underperformed during the 2020, on worries that the downturn prompted by the COVID-19 pandemic will force companies to reduce digital ad spending, damaging this information and internet content giant. However, the company astonished traders in October when its revenue surged, far surpassing experts’ predictions. The stock traded on Friday at $1,827.36, around 25% up during the past 12 months.

The world’s biggest and most popular internet company has been attempting to become more diverse than just being a search advertising medium for years by doing huge investments in cloud services, digital video, consumer hardware and even driverless cars.

Earnings uncertainty is majorly caused by numerous antitrust lawsuits in recent months which have increased the possibility of regulatory measures against the company which has been accused by state attorneys general of preserving an online advertising and search monopoly.

 

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