Alphabet (NASDAQ:GOOGL)(NASDAQ:GOOG) recently reported earnings for its third quarter of Fiscal Year 2022. Earnings per share came in at $1.06, which missed analysts’ consensus estimate of $1.26 per share. In the past nine quarters, the company has beaten estimates six times.
Sales increased 6.1% year-over-year, with revenue hitting $69.09 billion compared to $65.12 billion. This was also lower than the $70.651 billion that analysts were looking for.
Google Cloud was the only segment that saw growth when compared to the second quarter, increasing from $6.28 billion to $6.86 billion. In addition, the company demonstrated operating deleverage since its operating margin contracted from 32.3% to 25%.
Is Alphabet a Good Stock to Invest In?
Alphabet has a Strong Buy consensus rating based on 29 Buys, one Hold, and zero Sells assigned in the past three months. The average GOOGL stock price target of $140.73 implies 34.63% upside potential.
