The Zacks Analyst Blog Highlights Alphabet, Amazon, Microsoft and NVIDIA

For Immediate ReleaseChicago, IL – July 21, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Alphabet GOOGL, Amazon AMZN, Microsoft MSFT and NVIDIA NVDA.Here are highlights from Friday’s Analyst Blog:Buy, Sell or Hold Alphabet Stock? Key Tips Ahead of Q2 EarningsAlphabet is set to report second-quarter 2025 results on July 23.For second-quarter 2025, the Zacks Consensus Estimate for earnings is pegged at $2.13 per share, up by a penny over the past 30 days and indicates 12.7% year-over-year growth.The consensus mark for second-quarter revenues is pegged at $79.22 billion, indicating growth of 11.02% from the year-ago quarter’s reported figure.Alphabet has an impressive earnings surprise history. GOOGL’s earnings outpaced the Zacks Consensus Estimate in the trailing four quarters, the average surprise being 14.64%. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)Alphabet Inc. price-eps-surprise | Alphabet Inc. QuoteLet’s see how things have shaped up for the upcoming announcement:Growing AI Usage in Search to Aid GOOGL’s Q2 ResultsAlphabet’s to-be-reported quarterly results are expected to benefit from solid momentum in Search and Cloud businesses.The integration of Generative AI (Gen AI) technology into the search engine has been benefiting Google Search. AI-powered Circle to Search is now available on more than 300 million Android devices, with people using it to shop, translate text, and learn more about the world around them. Circle to Search is driving additional Search and is gaining popularity among younger users. The addition of AI mode expands AI Overview’s advanced reasoning, thinking and multimodal capabilities.The Zacks Consensus Estimate for second-quarter 2025 Search and other revenues is pegged at $52.36 billion, indicating 8% growth over the figure reported in the year-ago quarter.GOOGL Cloud Gaining Market ShareAlphabet has been rapidly growing in the booming cloud computing market. Google Cloud has solidified its position as the third-largest provider in the highly competitive cloud infrastructure market against Amazon’s cloud arm, Amazon Web Services (AWS), and Microsoft’s Azure. The solid adoption of the Google Cloud Platform and Google Workspace is expected to have driven growth in the Google Cloud segment.According to Synergy Research Group data, Google Cloud, along with Microsoft, is gaining market share, while AWS continues to lead with a 29% market share in the first quarter of 2025. Alphabet and Microsoft had 22% and 12% market share, respectively.The consensus mark for second-quarter 2025 Google Cloud revenues is pegged at $13.04 billion, indicating 26% growth over the figure reported in the year-ago quarter.However, GOOGL is suffering from a lack of capacity, and until new capacity comes online in 2025, cloud revenues are expected to see increased variability. This is expected to have hurt Alphabet’s Google Cloud revenues in the to-be-reported quarter.GOOGL Shares Lag Sector, IndustryAlphabet’s shares have declined 3.1% year to date, underperforming the Zacks Internet Services industry and the Zacks Computer & Technology sector. Over the same timeframe, the sector has returned 9.5% while the industry has dropped 0.9%.GOOGL Stock’s PerformanceGOOGL shares are overvalued, as suggested by Value Score C.Currently, GOOGL is trading at a premium, with a forward 12-month Price/Sales of 6.43X compared with the industry’s 5.49X.Technically, GOOGL shares are displaying a bullish trend as they trade above the 50-day and 200-day moving averages.GOOGL Trades Above 50-day & 200-day SMAsCloud Growth to Drive GOOGL ProspectsAlphabet is benefiting from an expanding clientele and rich partner base. Google Cloud is benefiting from its partnership with NVIDIA. Google Cloud was the first cloud provider to offer NVIDIA’s B200 and GB200 Blackwell GPUs and will be offering its next-generation Vera Rubin GPUs. Google Cloud is becoming a preferred choice for enterprises planning to deploy AI agents thanks to the Agent Development Kit and a low-code tool offering Agent Designer. The addition of Wiz to Google Cloud will boost competitive prowess against the likes of Amazon and Microsoft in the cloud computing space.Google Cloud’s expanding clientele is expected to boost Alphabet’s top line. Google Cloud is now expanding its footprint based on the latest deals with Ecobank in Africa and BBVA. BBVA’s deal with Google Cloud will enable Alphabet to deploy Google Workspace with Gemini across the global operations of the bank. Meanwhile, the Ecobank collaboration aims at transforming financial services with advanced analytics and AI and driving digital empowerment across Africa. This offers a significant growth opportunity for Google Cloud in one of the most underpenetrated regions of the globe.GOOGL Stock: Buy, Sell or Hold Ahead of Q2?Alphabet’s growing Gen AI capabilities present a potential catalyst for future growth. Its dominant position in the Search market is a strong growth driver. However, a stretched valuation, stiff competition in the cloud space and growing regulatory headwinds make GOOGL shares risky for investors ahead of second-quarter 2025 results.Alphabet currently has a Zacks Rank #3 (Hold), suggesting that it may be wise to wait for a more favorable entry point in the stock. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Research Chief Names "Single Best Pick to Double"From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.One Big Gain, Every Trading DayTo help you take full advantage of this market, you’re invited to access every stock recommendation in all our private portfolios - for just $1.Zacks private portfolio services that closed 256 double and triple-digit winners in 2024 alone. That’s about one big gain every day the market was open. Of course, not all our picks are winners, but members have seen recent gains as high as +627% +1,340%, and +1,708%.Imagine how much you could profit with a steady stream of real-time picks from all our services that cover a number of strategies to suit a variety of investing and trading styles.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Amazon.com, Inc. (AMZN): Free Stock Analysis Report Microsoft Corporation (MSFT): Free Stock Analysis Report NVIDIA Corporation (NVDA): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks