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Google parent Alphabet is set to report earnings after the bell on Thursday, adding to the slate of Big Tech earnings this week. For the first quarter, analysts polled by LSEG are calling for earnings of $1.51 per share on revenue of $78.59 billion. What the Street expects to see: AI, Cloud growth, ad trends Beyond the headline figures, analysts are paying close attention to Alphabet's revenue from the Google Cloud business, YouTube ads and its traffic acquisition costs. The company's ad revenue of $65.52 billion came in lower than analysts' estimates of $65.94 billion, however, according to StreetAccount. With AI, Alphabet is working on both sides of the technology: the innovator and the investor.
Persons: LSEG, that's, Brent Thill, Thill, Maria Ripps, Prabhakar Raghavan, Gemini, Anthropic Organizations: Big Tech, Google, Meta, Jefferies, Capital, YouTube
Netflix and a popular beauty stock were featured among Friday's biggest analyst calls. Analyst Rob Sanderson initiated coverage of DoorDash with a buy rating and $170 price target, citing strong execution. Alongside the upgrade, Blum downgraded Sunnova Energy to an equal weight rating and slashed his price target to $6 from $11, citing a higher-for-longer rate environment. "Share gains upmarket by Shopify support confidence in the durability of growth against tempered consumer spending expectations," wrote analyst Keith Weiss. The stock has tumbled 11% this year, but could rally 22% based on the firm's adjusted $85 price target.
Persons: Canaccord Genuity, Rob Sanderson, DoorDash, Sanderson, – Samantha Subin, Wolfe, Steven Chubak, BAC's, Chubak, bode, Wells, Michael Blum, Blum, Biden, Samantha Subin, Morgan Stanley, Keith Weiss, Weiss, — Samantha Subin, Canaccord, Maria Ripps, Steven Cahall, Price, Doug Anmuth, Morgan Stanley's Benjamin Swinburne, Jefferies, Ashley Helgans, Helgans, Fred Imbert Organizations: CNBC, Netflix, Friday's, Jefferies, Capital, Industry, Wolfe Research, Bank of America, of America, SCHW, Sunnova Energy, NOVA, Ulta Locations: Wells Fargo, China, Thursday's, Canada
Improving Reels engagement is boosting analysts' confidence in the short-form video platform's ability to compete with TikTok. META 1D mountain Meta Platforms shares surged more than 28% Thursday, on pace for their best day since 2013. Looking ahead, some analysts believe that Reels plays a dominant role in improving Facebook's efficiency. Easing TikTok tensions As for TikTok, some analysts say Reels is in position to overtake the short-form video leader that finds itself under increasing pressure as calls for a nationwide bans grow. JPMorgan analyst Doug Anmuth views improving Reels engagement trends and artificial intelligence investments as a way to temper threats from TikTok.
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