Alphabet Inc. (NASDAQ:GOOG) (NASDAQ:GOOGL) shares are in the spotlight Wednesday, with Google Cloud adding OpenAI models to its platform, earnings a week away, recent analyst activity and a technical pullback all drawing attention.
- Alphabet stock is holding steady today. Where is GOOG stock headed?
Earnings Preview & History
Alphabet is scheduled to report third-quarter earnings on Oct. 28 after the market closes. Analysts estimate earnings per share of $2.89 along with revenue of $116.87 billion. For the prior quarter, Alphabet reported earnings per share of $9.11, beating the consensus estimate of $2.89, which included a $98.0 billion net gain on equity securities in other income. The company also posted revenue of $119.80 billion, beating the consensus estimate of $116.82 billion.
What to Watch: Cloud Growth, AI Spending & Cash Flow
Investors will be closely tracking Google Cloud, after revenue grew 82% to $24.8 billion in the second quarter and backlog rose to $514 billion, with just over half expected to be recognized as revenue over the next 24 months. Capital spending will also be in focus. Alphabet raised its 2026 capex guidance to $195 billion to $205 billion from $180 billion to $190 billion and said 2027 spending will increase significantly.
Shares fell nearly 5% after hours following the last report as investors focused on spending, and free cash flow was negative $5.9 billion in the quarter. Search growth of 17% and YouTube ad growth of 13% will be watched as well.
Google Cloud Adds OpenAI Models to Its Model Garden, Joining Gemini and Claude
Google Cloud announced Wednesday that it is launching OpenAI’s GPT-Astra, GPT-6.1 Sol and GPT-6 Luna in its model garden, in private preview for select enterprise customers. Google said that makes Google Cloud the only hyperscale cloud provider offering access to Gemini, Claude and GPT, alongside more than 200 other models. OpenAI models are sold through Google Cloud Marketplace, so usage appears on a single Google Cloud invoice, draws down existing cloud commitments and counts toward Flexible Savings Plans. Customer prompts and outputs stay within their data perimeter and aren’t used to train foundation models. OpenAI models are expected to come soon to Gemini for business and Google Antigravity.
Analyst Consensus & Recent Actions
The stock carries a Buy rating with an average price forecast of $428.00. Recent analyst moves include:
- JP Morgan: Overweight (Raises Target to $425.00) (Oct. 15)
- UBS: Neutral (Raises Target to $380.00) (Oct. 14)
Alphabet Trades 1.8% Below Its 200-Day Average After a 34% Gain in 12 Months
From a longer-term view, Alphabet is still up 33.84% over the past 12 months, but the current setup is more about digestion than acceleration after the stock put in a swing high in August and a swing low in September. At $333.12, shares are trading 2.5% below the 20-day SMA, 2.2% below the 50-day SMA, and 4.1% below the 100-day SMA—levels that often act like overhead “gravity” during bounces.
Trend structure is still constructive on paper because the 20-day SMA remains above the 50-day SMA, and the 50-day SMA is above the 200-day SMA, which is a classic bullish alignment. The catch is that price is also 1.8% below the 200-day SMA, so bulls typically want to see a quick reclaim of that longer-term line to argue the pullback is ending rather than stretching out.
For momentum, MACD is the cleaner read right now: it’s below its signal line and the histogram is negative, which points to fading upside pressure versus the prior upswing. In plain terms, when MACD sits under its signal line, it often means buyers are losing control unless price can push back above key trend levels.
Key levels are tight, which can make the next move feel “binary” around support/resistance:
- Key Resistance: $348.00 — a round-number area that also sits near the cluster of the 50-day/100-day moving averages, where rebounds can stall
- Key Support: $332.50 — a nearby pivot area just under the current price, where a clean break could invite a deeper test toward the mid-$320s and the 200-day EMA ($329.28)
Benzinga Edge Rankings
Below is the Benzinga Edge scorecard for Alphabet Inc. Class C Capital Stock, highlighting its strengths and weaknesses compared to the broader market:
- Momentum: Bullish (Score: 77.14) — Despite the current pullback, the stock’s broader trend signals still screen as strong versus the market.
- Quality: Bullish (Score: 82.6) — The scorecard continues to favor Alphabet’s business durability and financial profile.
- Value: Neutral (Score: 46.48) — Valuation looks more middle-of-the-road, suggesting the market isn’t pricing GOOG as a deep bargain or an extreme premium.
- Growth: Bullish (Score: 84.74) — Growth factors remain a key support for the longer-term thesis, even if the near-term chart is choppy.
The Verdict: Alphabet’s Benzinga Edge signal reveals a growth-and-quality-led profile with momentum still screening strong, even as the stock slips below key moving averages. For longer-term bulls, the main technical “tell” is whether GOOG can reclaim the 200-day and 50-day areas; if not, the chart may keep favoring patience and buy-the-dip discipline near support.
Alphabet Shares Slip
GOOG Price Action: At the time of publication, Alphabet shares are trading 0.94% lower at $ 333.25, according to data from Benzinga Pro.
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