June 13, 2025 | New York — Stocks of Alphabet Inc. (NASDAQ: GOOG) pulled back slightly on Thursday, slipping 1.01% to close at $175.19. The modest decline comes after a strong run for the tech giant, which has gained over 8.5% in the past month and remains one of the most closely watched stocks on Wall Street.
Despite the dip, Alphabet stock continues to demonstrate strength over the long term. Over the last five years, the company has returned more than 145% to investors, with an all-time gain exceeding 518%. While stock have seen some year-to-date volatility—down 8.54%—the broader market remains confident in Alphabet’s growth trajectory driven by its expanding cloud services, advertising revenue, and artificial intelligence initiatives.
Strong Earnings and Analyst Sentiment
Alphabet’s most recent earnings beat has also bolstered investor confidence. The company reported quarterly earnings per stock(EPS) of $2.81, a 39.11% surprise over the consensus estimate, and revenue of $76.49 billion, which exceeded expectations by 1.27%. Year-over-year, revenue grew by 13.2%, signaling continued resilience in core segments.
Looking ahead, analysts expect Alphabet to post EPS of $2.12 in the current quarter, representing a 12.2% increase from the same period last year. The consensus full-year earnings estimate sits at $9.51, up 18.3% year-over-year, with next year projected to bring in $10.16 per stock—an additional 6.9% gain.
Revenue projections also remain strong, with the current quarter expected to bring in $78.88 billion (+10.6% YoY), and full-year revenue forecasted to grow 12.3% to $331.35 billion. For 2026, sales are expected to rise to $366.22 billion, a year-over-year increase of 10.5%.
Valuation and Market Position
From a valuation perspective, Alphabet holds a “C” grade from Zacks Investment Research, indicating that the stock is trading in line with its industry peers. However, steady earnings revisions and consistent quarterly beats highlight the company’s strong fundamentals.
Alphabet currently carries a Zacks Rank #3 (Hold), reflecting a neutral near-term outlook based on earnings estimate trends. Still, the company’s track record—beating EPS expectations in each of the past four quarters—adds to its credibility as a long-term performer in the tech sector.