Meta (META) and Alphabet (GOOGL) trade at similar forward P/E ratios of 22.08 and 22.83, despite very different AI bets. Meta's second-quarter revenue rose 28% to $60.8 billion, driven by 14% higher ad impressions and a 12% increase in average price per ad, while daily users grew a more modest 3% to 3.60 billion. Alphabet's Google Cloud revenue rose 82% to $24.8 billion and Google Search and other revenue climbed to $63.3 billion, lifting operating income 30% to $40.8 billion. Meta's expenses rose 55% to $42.0 billion, including $2.4 billion in legal charges and $1.18 billion in severance tied to its May 2026 headcount reduction, causing operating income to fall 8% despite strong revenue growth.
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Related tickers and likely impact
GOOGL
▲ Likely positiveAlphabet Inc. (Class A)
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $4.3T |
| Close on 10/16/2026 | 340.59 |
| Change that session | -2.47% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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