Alphabet's Q3 2026 results, due October 28, are expected to benefit from momentum in Search and Cloud, according to Zacks. The consensus estimates advertising revenue of $83.523 billion, up 12.6% year over year, Search and other revenue of $65 billion, up 15%, and Google Cloud revenue of $29.16 billion, up 92.3%. Support comes from AI Overviews and AI Mode, which surpassed 1 billion monthly active users in the second quarter, and from AI Max, which has attracted 500,000 advertisers. Alphabet holds 89.94% of the search market per StatCounter, and is the third-largest cloud provider with a 15% share per Synergy Research, behind Amazon's 28% and Microsoft's 20%. The company has beaten the Zacks Consensus Estimate in each of the last four quarters, with an average surprise of 86.65%.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
GOOGLearningscloud computingartificial intelligenceadvertising
Open a keyword to see other news on the same topic.
Related tickers and likely impact
GOOGL
▲ Likely positiveAlphabet Inc. (Class A)
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $4.0T |
| Close on 10/26/2026 | 316.80 |
| Change that session | -1.06% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Sundar Pichai Reported Alphabet's Cloud Revenue Grew 82% Last Quarter While the Gemini App Reached 950 Million Monthly Users. Is Google Cloud Becoming a Bigger Growth Driver Than Search?
Google Cloud revenue for the latest quarter rose 82% year over year to $24.8 billion, adding $11.2 billion amid heavy AI infrastructure spending. Google Search grew more slowly, up 17% to $63.3 billion, but its $9.1 billion increase was smaller than Cloud's, so the author argues Cloud now matters more to Alphabet's revenue growth than Search. The author sees chatbots such as ChatGPT and Claude, along with Gemini (950 million monthly active users), as a real risk to search volumes and ad revenue, but notes Gemini also underpins Alphabet's services, including AI summaries in Search. Total Alphabet revenue grew 23% year over year last quarter.
- Pre-Q3 Earnings: Is Alphabet Stock a Portfolio Must-Have?
Alphabet (GOOGL) is set to report third-quarter 2026 results on October 28. The Zacks Consensus Estimate calls for earnings of $2.94 per share, up 2.44% year over year, and revenue of $111.64 billion, implying growth of 27.63%; Alphabet has beaten earnings estimates in each of the last four quarters, with an average surprise of 86.65%. Cloud revenue surged 82% year over year to $24.77 billion in the second quarter, with cloud backlog reaching $514 billion, while Search & Other rose 17% to $63.27 billion and YouTube advertising grew 13% to $11.06 billion. Gemini API usage reached about 22 billion tokens per minute, and the Gemini app has 950 million monthly active users. The article also flags possible margin pressure from higher depreciation, energy costs, data center operating costs and AI-related hiring.
- Countdown to Alphabet (GOOGL) Q3 Earnings: Wall Street Forecasts for Key Metrics
Wall Street analysts expect Alphabet (GOOGL) to report quarterly EPS of $2.94 per share, up 2.4% year over year, on revenue of $111.64 billion, up 27.6%. The consensus EPS estimate was revised up 1.4% over the past 30 days. Analysts project Google advertising revenue at $83.52 billion (up 12.6%), Google Cloud at $29.16 billion (up 92.4%), and YouTube ads at $11.34 billion (up 10.6%). The article notes that trends in earnings estimate revisions have shown a robust correlation with short-term stock price performance.
- Google to report Q3 results as investors focus on AI growth, weigh Meta Muse AI risk
Google (GOOG, GOOGL) reports third-quarter earnings after the bell on Wednesday, with investors focused on whether hyperscalers' AI spending will pay off. Analysts expect EPS of $3.01 on revenue of $127.8 billion, including advertising sales of $83.5 billion and cloud revenue up 91% to $28.9 billion. BofA and TD Cowen see TPU sales as a possible driver, and TD Cowen expects $9.4 billion in TPU sales in the second half of 2026, rising to $62.5 billion in 2027 and 138 billion in 2028. Oracle will be the first company to buy Google's AI processors for its own data centers. Meanwhile, Meta's Muse AI agent, which CEO Mark Zuckerberg says 10 million people have set up, could prove to be a long-term threat to Google's search business.
- Alphabet & Microsoft Earnings Preview: AI Cloud Growth Takes Center Stage
Alphabet and Microsoft report quarterly results after the close on Wednesday, October 28, with investors watching whether AI cloud demand justifies heavy infrastructure spending. Zacks expects Alphabet to post Q3 EPS of $2.94, up more than 2%, with revenue excluding traffic acquisition costs rising nearly 28% to $111.8 billion and Google Cloud revenue up 92% to $29.15 billion. Alphabet forecasts annual capital spending of $195-$205 billion. Microsoft is expected to report fiscal first-quarter EPS of $4.71, up 14%, and revenue of $90.58 billion, up more than 16%, with Azure growth guided to 44-45% in constant currency. The article adds that quarterly capital expenditures could exceed $50 billion, and that higher depreciation and AI infrastructure costs could pressure cloud margins.
- Why Google might avoid an earnings 'reckoning' this week
According to D.A. Davidson analyst Gil Luria, Google (GOOG) has several advantages ahead of this week's earnings that Meta (META) lacked after its negative surprises. Google already did some fundraising and signaled a significant increase in capex for next year when it reported Q2, so that concern may be behind it. Co-founders Sergey Brin and Larry Page moved out of California before the 1/1/26 cutoff and may avoid selling shares, letting investors focus on Google Cloud growth driven by Anthropic. Meta posted negative free cash flow for the first time since 2012 amid aggressive AI spending and created a nonvoting Class C stock, effectively a 2-for-1 split, with trading slated for January 2027. Meta shares have faced pressure over fears that Zuckerberg may have to sell shares to pay his Prop 40 tax bill, while Luria says Google ranks second or third in each AI market.
Related markets
Latest news
- China's Stock Market Has Lost $2.4 Trillion as Investors Doubt Its AI Boom Will Ever Pay Off
Mainland Chinese stocks have lost about $2.4 trillion in market value since May as investors lose faith that Beijing's AI boom will turn a profit. The STAR 50, an index of large tech and chip companies, has fallen 40% in under four months, erasing about $480 billion, while the CSI 300 entered a bear market on October 22. According to Goldman Sachs, AI companies account for 42% of the market value and 57% of trading in Chinese shares, so a slump in AI stocks drags the whole market down. Factors cited include weak consumer spending, doubts that AI firms can recoup their investment, U.S. curbs on Chinese robots and data center optical parts, and a reported Beijing push for tech giants to shift to homegrown chips and stop buying Nvidia's. A Beijing-based fund manager said the speculative rally has given way to a bubble that is now bursting.
- Airborne Magnetic Survey Generates 22 Priority Gold Exploration Targets
GoldCoast Resource Corp. reports completing an airborne magnetic survey over its entire 10,000 km² offshore licence area on Ghana's shallow continental shelf, with about 60,000 line kilometres flown between May 4 and August 22, 2026. The interpretation identified 22 significant magnetic anomalies, considered high-priority gold targets linked to paleo-river channels, paleo-shorelines and structurally controlled sediment traps. Two source-to-sink placer systems were defined: the Tano-Ankobra system in Block 1 and the Pra River and eastern river systems in Block 2, each containing all four elements needed for a placer gold deposit. A further infill survey over Target A, about 500 km² at the Ankobra River mouth, is being interpreted, with results due in Q4 2026. A Phase II marine program using multibeam bathymetry, side-scan sonar, sub-bottom profiling and vibracore sampling will test the priority targets.
- Artificial Intelligence (AI) in Pharmacovigilance Global Market Report 2026 | Capitalize on 19.6% CAGR to 2030 as Oracle, Microsoft, Google and IQVIA Accelerate Automation
The global AI in pharmacovigilance market is projected to grow from $0.77 billion in 2025 to $0.92 billion in 2026 and reach $1.88 billion by 2030, at a CAGR of 19.6%. Key drivers include rising adverse drug reaction reporting requirements, expanding regulations, and the growing use of electronic health records and complex clinical trial data. The Department of Health Abu Dhabi recorded 1,522 adverse drug reaction reports in 2023, a 235% increase over the average of previous years. RxLogix upgraded its PVOne.AI platform in May 2026 with agentic AI, and the company says it can cut manual case-processing effort by up to 80%. North America was the largest regional market in 2025, while Asia-Pacific is expected to grow fastest.
- Artificial Intelligence (AI)-Driven Drug Safety and Pharmacovigilance Platforms Market Report 2026 | Capitalize on 20.2% CAGR with Microsoft, IBM, Oracle, IQVIA, and Veeva
The global AI-driven drug safety and pharmacovigilance platforms market is projected to grow from $2.14 billion in 2025 to $2.59 billion in 2026, a CAGR of 20.6%, and reach $5.39 billion by 2030, at a CAGR of 20.2%. Growth is driven by rising adverse drug reaction reporting requirements, stricter regulation, and wider use of real-world evidence and cloud-based monitoring systems. The Department of Health Abu Dhabi recorded 1,522 adverse drug reaction reports in 2023, a 235% increase over the average of previous years. RxLogix upgraded its PVOne.AI platform in May 2026 with agentic AI, which the company says can cut manual case-processing effort by up to 80%. North America was the largest regional market in 2025, while Asia-Pacific is expected to grow fastest.
- Has Space Exploration Technologies (SPCX) Become Fully Valued Following Its $3.42b Shelf Filing?
Space Exploration Technologies (SPCX) has filed a US$3.42 billion shelf registration for Class A common stock, allowing it to issue 23.6 million shares as funding needs arise. The shares rose 26.2% over 90 days, helped by Q3 profitability, a US$40 billion AI chip financing and ongoing Tesla merger discussions, but are down 8.7% year to date at a last close of US$146.90. The recent pullback suggests investors are weighing dilution risk and higher leverage against the growth story. The most-followed narrative puts fair value at just $0.46 per share, while Simply Wall St's DCF model estimates $420.37 per share, with SPCX trading 65.1% below that value.
- Global Edge Infrastructure Market Report 2026: Size, Share, Trends and Forecast to 2030 | Capitalize on 5G, AI and IoT with Microsoft, AWS, Dell, NVIDIA and Cisco
The global edge infrastructure market is projected to grow from $7.3 trillion in 2025 to $9.24 trillion in 2026, a 26.7% CAGR, and reach $23.99 trillion by 2030, at a 26.9% CAGR. Growth drivers include demand for real-time analytics, 5G and IoT, with Ericsson reporting 18.8 billion global IoT connections in 2024, projected to reach 43 billion by 2030. AIXSpace Inc. launched a Micro Edge Data Center in March 2026 that occupies about two square meters, can be deployed within two hours and has a PUE as low as 1.3. NIXXY Inc. acquired the EDGE data center and telecommunications assets of Everythink Innovations Limited for about $3.65 million in August 2025. North America was the largest region in 2025, while Asia-Pacific is expected to grow fastest over the forecast period.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.