Overview
- Alphabet guided roughly $180 billion in capital spending for 2026, a step that investor analyses say could pressure free cash flow despite recent strength.
- Google Cloud revenue jumped 48% last quarter to $17.7 billion as operating income more than doubled to $5.3 billion, though the unit remains the No. 3 provider by market share.
- Seeking Alpha reported Google Cloud was the fastest-growing major cloud in Q4, with margin expansion reflecting prior infrastructure investments.
- Search growth reaccelerated with Q4 search revenue up 17%, supported by Google’s distribution moat through Chrome, Android, and its default placement on Apple devices outside China.
- Analyst sentiment has firmed, with Scotiabank and Mizuho lifting price targets to $400, while high-profile commentators such as Jim Cramer called Alphabet’s valuation attractive.