Alphabet’s Q3 Earnings Surge Driven by AI Boost, Stock Climbs 5.9%

Alphabet Inc., Google's parent company, saw its stock rise 5.9% in after-hours trading following a strong Q3 earnings report that beat Wall Street estimates, primarily due to its growing artificial intelligence sector.

The stock closed at $171.14 and increased to $181.22 after hours, marking a 21.73% rise year-to-date.

For Q3, Alphabet reported revenues of $88.27 billion, a 15% increase from the previous year, and earnings per share of $2.12, surpassing estimates of $1.85.

Google Cloud revenues jumped 35% year-over-year to $11.4 billion, reflecting significant growth in AI infrastructure and products.

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These results precede earnings reports from rivals Meta and Microsoft on October 30, and Amazon and Apple on October 31.

The MAMAA stocks have all surged this year, driven by AI investments. In August, Google launched its advanced AI model, Gemini 1.5 Pro, which outperformed previous industry leaders.

Alphabet’s Google Ads remains its top revenue source, bringing in $65.86 billion in Q3, up 10.4% year-over-year, followed by Google Search, which generated $49.39 billion, a 10.9% increase.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.