1 month ago
Stock Market

Alphabet Earnings Handily Beat Estimates, but Stock Stumbles

Investing.com - Google parent Alphabet (NASDAQ:GOOGL) reported fourth-quarter earnings that topped Wall Street expectations on the top and bottom lines

Investing.com - Google parent Alphabet (NASDAQ:GOOGL) reported fourth-quarter earnings that topped Wall Street expectations on the top and bottom lines Monday, but operating income growth was a concern and shares sold off after hours.

Alphabet shares lost 2.5% postmarket.

The company reported earnings earnings per share of $12.77 on revenue of $39.28 billion. Analysts polled by Investing.com anticipated EPS of $10.88 on revenue of $38.91 billion. That compared to EPS of $9.70 on revenue of $32.32 billion in the same period a year earlier. Revenue was up 20.5%.

But income from operations for the quarter rose just 7% to $8.203 billion from $7.664 billion a year ago. Analysts were looking for around $8.6 billion, according to Seeking Alpha.

Traffic acquisition costs rose to $7.44 billion, up 13% but right around what the market was expecting.