Google's strong fourth quarter pushes Alphabet shares higher

Alphabet presents Google Cloud sales for the first time and it's not great

Google Services, which includes Search, advertising, Android, Chrome, hardware, Google Maps, Google Play and YouTube.

YouTube delivered a 47% jump in advertising growth from a year ago, bringing in revenue of $6.89 billion, compared to analyst expectations of $6.22 billion.

Google Cloud reported $3.8 billion in sales in the fourth quarter - a 46 per cent jump from the fourth quarter of 2019. Overall, advertising accounted for 81.2 percent of Alphabet's revenues. To generate that amount of business, Google had to spend $10.47 billion in traffic acquisition costs. According to Google finance chief Ruth Porat, YouTube and Search helped Google carry out so properly through the interval.

YouTube ads made US$6.9 billion in the fourth quarter for Google, up from US$4.7 billion the previous year, while Googe advertising made up US$46.2 billion, up from US$38 billion the year prior. Earnings per Share (EPS) rose to $22.30 per share from $15.35 per share.

Google continues to tend to its Money Tree. Or rather, how unprofitable it was: the segment posted a loss of over $1 billion last quarter, suggesting Alphabet has some way to go to catch up with front-runners Amazon and Microsoft... By the top of the quarter, that determine was as much as $26.5 billion.

Google-parent company Alphabet pressed all investors' right buttons late on Tuesday: the tech giant posted better-than-expected earnings, and its stock initially jumped 6%. Still, it could seem that cash appears to vanish within the cloud.

As usual, Google delivered most of Alphabet's revenues and all of its net income, with Alphabet's other bets all delivering losses.

In point of fact, in the day's steep gains in the Wall Street had underscored the importance of another stimulus package for an ailing United States economy, whose labour market has still been reeling from a higher number of pandemic-led layoffs. Shares of Alphabet, which rose $26.16 or 1.38% to $1,927.51 through the common buying and selling session, soared 7.66% in after-hours buying and selling after the earnings report was launched. During the later trading period, Alphabet was changing hands at $2075.16, up $147.65.



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