Please disable Ad Blocker before you can visit the website !!!

Google Long

by SignalFactory   ·  April 27, 2021 | 09:18:42 UTC  

Google Long

by SignalFactory   ·  April 27, 2021 | 09:18:42 UTC  

Alphabet Inc.’s (GOOGL) Google is facing seemingly endless antitrust scrutiny. This time the target is Google’s alleged power over its smartphone ecosystem, more specifically the Android mobile technology developed by Google that is used by millions of consumers globally. Google came under attack from critics at a recent U.S. Senate hearing, which could lead to an antitrust action by regulators. The company has already been sued by federal and state authorities for alleged antitrust violations related to its search and advertising businesses.

As Google attempts to deflect the allegations, investors will be watching to see if the company can continue its strong financial performance when it reports earnings on April 27, 2021, for Q1 FY 2021.2 Analysts expect adjusted earnings per share (EPS) to rise at a healthy pace and revenue to rise at its fastest pace in 11 quarters.

Investors will also be focusing on revenue growth for Google Cloud, one of Google’s main business segments. Google Cloud offers tools for developers through a cloud platform as well as other workplace collaboration tools. Analysts expect Google Cloud revenue to continue growing at a robust pace.

Shares of Alphabet have outperformed the broader market over the past year. But the performance gap began to widen in mid-January and then ballooned following the company’s Q4 earnings report issued in early February. Alphabet’s shares have provided a total return of 80.9% over the past year, well above the S&P 500’s total return of 49.4%.

Google (Alphabet) Earnings History:

The stock jumped following the company’s Q4 FY 2020 earnings report. Adjusted EPS rose 41.0%, the fastest increase since the year-ago quarter. Revenue for the quarter grew 23.5%, marking the fastest pace of growth since Q2 FY 2018.

 Google said that revenue was driven by its Search business and YouTube.

In Q3 FY 2020, adjusted EPS grew 26.1% compared to the year-ago quarter, a significant improvement from the YOY declines posted in the first two quarters of the year. Quarterly revenue rose 14.0% YOY, a big turnaround from the 1.7% decline posted in the prior quarter. Google noted that Q3 results reflected an increase in ad spend in the Search and YouTube businesses as well as ongoing strength in its cloud business and the Google Play app store.

Analysts expect the strong performance to continue in Q1 FY 2021. Adjusted EPS is expected to rise 36.2%. Revenue is forecast to climb 25.3%, which would be the fastest pace in 11 quarters. For full-year FY 2021, analysts are currently estimating adjusted EPS to rise 11.6%, a slowdown from last year’s 50.3% pace of growth. However, revenue is expected to rise 24.2%, which would be the fastest pace in at least five years.

The Key Metric:

As mentioned above, investors will also be focused on Google Cloud revenue. Google Cloud is one of Google’s primary business segments, the other being Google Services. The cloud segment provides developers with a highly scalable and reliable platform for building, testing, and deploying applications. It also offers workspace collaboration tools, including apps like Gmail, Docs, Drive, Calendar, Meet, and more. Revenue is generated through the collection of fees related to these services. At the end of 2020, Google Cloud had an estimated 9% of the global cloud market, ranking it third behind Microsoft Corp.’s Azure and top-ranked Inc.’s Amazon Web Services.

Google Cloud revenue has grown at a robust pace of 43.9%, 52.8%, and 46.4%, in fiscal years 2018, 2019, and 2020, respectively. Analysts expect a similar pace of growth in Q1 FY 2021, though they are currently estimating a slight deceleration for all of FY 2021. Google Cloud revenue is seen rising 45.2% in the first quarter, relatively consistent with growth rates posted in the past several quarters. But it’s expected to rise 42.6% for all of FY 2021, the slowest pace in the last four years.

Google Long (Buy)

ENTER AT: 2351.39

T.P_1: 2490.64

T.P_2: 2588.97

T.P_3: 2746.12

T.P_4: 2997.64

T.P_5: 3300.77

T.P_6: 3596.18

S.L: 2020.97

All information on this website is of a general nature. The information is not adapted to conditions that are specific to your person or entity. The information provided can not be considered as personal, professional or legal advice or investment advice to the user. This website and all information is intended for educational purposes only and does not give financial advice. Signal Factory is not a service to provide legal and financial advice; any information provided here is only the personal opinion of the author (not advice or financial advice in any sense, and in the sense of any act, ordinance or law of any country) and must not be used for financial activities. Signal Factory does not offer, operate or provide financial, brokerage, commercial or investment services and is not a financial advisor. Rather, Signal Factory is an educational site and a platform for exchanging Forex information. Whenever information is disclosed, whether express or implied, about profit or revenue, it is not a guarantee. No method or trading system ensures that it will generate a profit, so always remember that trade can lead to a loss. Trading responsibility, whether resulting in profits or losses, is yours and you must agree not to hold Signal Factory or other information providers that are responsible in any way whatsoever. The use of the system means that the user accepts Disclaimer and Terms of Use. Signal Factory is not represented as a registered investment consultant or brokerage dealer nor offers to buy or sell any of the financial instruments mentioned in the service offered. While Signal Factory believes that the content provided is accurate, there are no explicit or implied warranties of accuracy. The information provided is believed to be reliable; Signal Factory does not guarantee the accuracy or completeness of the information provided. Third parties refer to Signal Factory to provide technology and information if a third party fails, and then there is a risk that the information may be delayed or not delivered at all. All information and comments contained on this website, including but not limited to, opinions, analyzes, news, prices, research, and general, do not constitute investment advice or an invitation to buy or sell any type of instrument. Signal Factory assumes no responsibility for any loss or damage that may result, directly or indirectly, from the use or dependence on such information. All information contained on this web site is a personal opinion or belief of the author. None of these data is a recommendation or financial advice in any sense, also within the meaning of any commercial act or law. Writers, publishers and affiliates of Signal Factory are not responsible for your trading in any way. The information and opinions contained in the site are provided for information only and for educational reasons, should never be considered as direct or indirect advice to open a trading account and / or invest money in Forex trading with any Forex company . Signal Factory assumes no responsibility for any decisions taken by the user to create a merchant account with any of the brokers listed on this website. Anyone who decides to set up a merchant account or use the services, free of charge or paid, to any of the Forex companies mentioned on this website, bears full responsibility for their actions. Any institution that offers a service and is listed on this website, including forex brokers, financial companies and other institutions, is present only for informational purposes. All ratings, ratings, banners, reviews, or other information found for any of the above-mentioned institutions are provided in a strictly objective manner and according to the best possible reflection of the materials on the official website of the company. Forex trading is potentially high risk and may not be suitable for all investors. The high level of leverage can work both for and against merchants. Before each Forex investment, you should carefully consider your goals, past experience and risk level. The opinions and data contained on this site should not be considered as suggestions or advice for the sale or purchase of currency or other instruments. Past results do not show or guarantee future results. Neither Signal Factory nor its affiliates ensure the accuracy of the content provided on this Site. You explicitly agree that viewing, visiting or using this website is at your own risk.

Signal Factory is now on Telegram

make sure to join our Telegram channel now and you will not miss any update