Dan Ives of Wedbush accumulated praise Googlethe parent Alphabet Inc GOOG GOOGLE after the company beat revenue and earnings per share (EPS) estimates in its March 2024 quarterly results.
What happened: Ives expressed his admiration for Google following the company’s first-quarter earnings, where it declared its first-ever dividend.
In an interview with CNBC, Ives described the findings as “a quarter that they should frame and put in the Louvre,” adding that he sees nothing negative in the report.
He also highlighted positive implications for near-term growth and margin, as well as management’s comments on research generative experience (SGE) that should ease long-term investor concerns.
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He concluded by pointing out that the AI and cloud story is now unfolding and raised his price target for Google from $175 to $205.
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Because matter: Alphabet reported revenue increased 15% year-over-year to $80.539 billion, beating the consensus estimate of $78.594 billion. The company also reported quarterly earnings per share of $1.89, beating analysts’ estimates of $1.51.
During the company’s first-quarter earnings call, CEO Sundar Pichai expressed satisfaction with the company’s development Gemini AI, despite the recent controversies. He highlighted the significant progress made in the development of Gemini artificial intelligence and other models.
Pichai also addressed changes in user behavior and the potential impact on the new search experience given the integration of generative responses during the first quarter earnings call, expressing confidence in the company’s ability to manage these challenges.
Gene Munster of Deepwater Asset Management applauded Google’s revenue projection of $100 billion, he says, is a sign that the company is “entering a new phase of growth.”
Price Action: According to Benzinga Pro, Alphabet Inc. shares rose 11.80% in premarket trading on Friday, after closing at $157.95 the previous day.
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Disclaimer: This content was partially produced with help from Benzinga Neuro and has been reviewed and published by Benzinga editors.
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