Alphabet Inc (NASDAQ-GOOGL) for the first quarter of 2024 saw its total sales increase 15.4% year-over-year to $80.539 billion. Operating profit saw an even higher increase, up 46% to $25.472 billion. After deducting all expenses, the company earned a net profit of USD 23.662 billion with a 57% year-on-year increase. Google reported advertising revenue of $61.66 billion. A year ago, it was USD 54.55 billion. Google’s core advertising business is picking up again after difficult years in 2022 and 2023, with profits increasing globally thanks to falling interest rates and diminishing inflation concerns. Operating income in Google’s cloud business more than quadrupled to $900 million, evidence that the company has begun to generate significant profits after investing heavily in development to keep pace with Amazon and Microsoft. To secure the trust of existing consumers who use Google tools, the company has increased its investment in developing artificial intelligence, adding generative features to search and other services. CEO Sundar Pichai said: “Our leadership in AI research and infrastructure and our global product footprint positions us well for the next wave of AI innovation.”
The company also said that its board of directors has authorized a share buyback for an additional $70 billion. The company also pays a regular quarterly dividend to its investors, which currently has a dividend yield of 0.47%. The actual dividend amount was approved by the company’s AGM at USD 0.20 per share. The Company has also recently announced through a press release the last trading day for the use of the quarterly dividend, the “Ex Dividend Date”, which will be 10 June 2024 and the “Pay Date”, which will be 17 June 2024. According to the multinational investment corporations, the share price of Alphabet Inc (NASDAQ-GOOGL), can be expected to be in a bull market trend, that is, an uptrend in the share price. The average target price for the short- to medium-term investment horizon was set at $189.79 per share.
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