Alphabet (GOOGL) shares fell 12.6% on Thursday after its earnings report, wiping out nearly $500 billion in market value, and dropped another 1% in premarket trading on Friday. Yahoo Finance AlphaSpace data shows its price-to-earnings (P/E) ratio is at a level not seen since 2012. Search sales of $63.4 billion came in below the $64.9 billion expected, fueling fears that rivals such as Claude and ChatGPT are eroding Google's search business. Negative free cash flow of $9.1 billion also missed the Wall Street estimate of negative $3.5 billion. After the report, 13 Wall Street analysts cut their price targets on Alphabet.
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GOOGLvaluationearningsartificial intelligence
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Related tickers and likely impact
GOOGL
▼ Likely negativeAlphabet Inc. (Class A)
Relevance: high
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $4.0T |
| Close on 10/29/2026 | 283.75 |
| Change that session | -12.66% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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