Alphabet Shares Reach $373 (+7.4%) Post-Earnings Beat, CapEx Surge Alarms Investors
Alphabet shares climbed to $373 (+7.4%) after Q1 revenue beat estimates at $109.9B (+22% YoY) and net income surged 81%, fueled by 63% cloud revenue growth. Initial reports flagged 2026 CapEx at $180B–$190B with 2027 rises amid AI demand, while the latest analysis highlights Q1 CapEx at $35.6B causing free cash flow decline and margin pressures from Wiz acquisition. Strong AI momentum drives bullish sentiment, but elevated spending tempers enthusiasm and boosts volatility.