Movement Alert｜Alphabet falls 12.08% in Regular Trading, Q3 miss and cash burn deepen AI return concerns

Market Focus10-29 21:32

On October 29, Alphabet fell 12.08% in Regular Trading, trading at $280.86/share, with turnover of $3.147 billion.

The move followed its latest quarterly report, which showed revenue of $127.58 billion and EPS of $2.12, both below market expectations, while free cash flow dropped to negative $9.07 billion, far worse than the expected negative $3.5 billion.

Background details indicate Google advertising revenue was $82.0 billion versus a market estimate of $83.7 billion, although Google Cloud revenue grew 103% year over year. Management said TPU expansion and inventory build for system sales pressured operating cash flow, and it expects capital spending to remain elevated. After the results, several brokerages lowered price targets, including cuts to $375, $355, and $345, reinforcing investor concern that heavy AI investment is not yet translating into near-term cash returns.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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