Sequans Communications reports second quarter revenue flat at $8.1 million
Investing.com - UBS raised its price target on Alphabet (NASDAQ:GOOGL) to $202.00 from $192.00 while maintaining a Neutral rating following the company’s latest earnings report. The $2.32 trillion tech giant, which maintains a "GREAT" financial health score according to InvestingPro, has demonstrated robust revenue growth of 13% over the last twelve months.
The firm described the results as "the cleanest print we have seen from Google in some time," noting that Search growth of 12% year-over-year exceeded investor expectations of 10-11%. This growth was driven by paid clicks returning to 4% growth compared to 2% in the first quarter of 2025.
YouTube revenues reached $9.8 billion, beating the consensus estimate of $9.6 billion, with UBS highlighting impressive performance in monetization parity for Shorts and higher direct response mix. Cloud revenues of $13.6 billion also surpassed consensus expectations of $13.1 billion.
UBS noted that some revenue upside is offset by higher depreciation and amortization from a $10 billion increase to the 2025 capital expenditure guidance, as well as the outlook for typical third-quarter hiring.
The firm maintained its Neutral rating, citing concerns that Alphabet’s price-to-earnings trading multiple "will remain under pressure due to unresolved regulatory issues and prospects for market share loss in Search given ongoing competitive pressure."
In other recent news, Alphabet reported strong second-quarter 2025 results, with revenue surpassing consensus estimates by 3%. This performance was largely attributed to growth in its Search, YouTube, and Cloud segments, with artificial intelligence playing a significant role in driving these results. Following the earnings report, several analyst firms raised their price targets for Alphabet. JMP Securities increased their target to $225, citing AI as a key driver, while KeyBanc Capital Markets raised theirs to $230, highlighting AI momentum across business units. Stifel also adjusted their target to $222 following solid first-quarter results, pointing to healthy advertising trends and Cloud outperformance. BMO Capital set a new target of $225, noting strong performance in the second quarter of 2025. Jefferies raised their target to $230, emphasizing progress in Cloud and AI investments, which have begun to yield positive results.
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