Investing.com -- Alphabet (NASDAQ:GOOGL), the parent company of Google, saw its stocks rise by as much as 6% in premarket trading on Friday. The surge came after the company reported first-quarter results that surpassed expectations, largely due to the continued success of its search advertising business.
Analysts have noted that Alphabet’s performance was better than anticipated and that the company’s AI products are gaining significant traction. This positive sentiment was echoed by Citigroup (NYSE:C) analyst Ronald Josey, who highlighted that the search and cloud results are promising for other tech giants such as Meta (NASDAQ:META) and Amazon (NASDAQ:AMZN).
He also mentioned that the positive commentary on the Waymo Austin rollout would be beneficial for Uber (NYSE:UBER).
The Magnificent Seven, a group of leading tech stocks, also experienced movement following Alphabet’s report. Meta saw a 4.2% increase, Amazon experienced a 1.8% rise, Tesla (NASDAQ:TSLA)’s stocks went up by 1.7%, and Nvidia (NASDAQ:NVDA)’s shares increased by 1.3%. However, Microsoft (NASDAQ:MSFT) and Apple (NASDAQ:AAPL)’s shares remained relatively unchanged.
Alphabet’s positive first-quarter results and the subsequent rise in its stock price underscore the company’s continued strength in the search advertising sector. This has also positively impacted other tech giants, demonstrating the interconnectedness of the tech stock market.
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