Alphabet's 2026 Earnings Forecast Analysis
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 20 2026
0mins
Source: NASDAQ.COM
- Earnings Growth Expectation: Analysts forecast a 7% growth in Alphabet's diluted earnings per share (EPS) for 2026, a significant slowdown from 33.3% in 2025, yet it reflects the company's robust performance in digital advertising and Google Cloud, potentially supporting the stock price.
- Capital Expenditure Plans: Alphabet plans to invest between $175 billion and $185 billion in capital expenditures in 2026, focusing on its AI strategy, which will pressure profits due to increased depreciation expenses and operational costs of data centers.
- Valuation Multiple Expansion Potential: Currently, Alphabet's price-to-earnings (P/E) ratio stands at 28, which is above the S&P 500 average, but analysts believe the company could expand this ratio to 30 by the end of 2026, further driving stock price appreciation.
- Long-term Investment Advice: While the short-term price target is set at $350, investors should adopt a long-term mindset when considering Alphabet's stock, as short-term speculation may not be the best strategy in the current market environment.
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Analyst Views on GOOG
Wall Street analysts forecast GOOG stock price to fall
15 Analyst Rating
14 Buy
1 Hold
0 Sell
Strong Buy
Current: 355.680
Low
255.00
Averages
336.08
High
400.00
Current: 355.680
Low
255.00
Averages
336.08
High
400.00
About GOOG
Alphabet Inc. is a holding company. The Company's segments include Google Services, Google Cloud, and Other Bets. The Google Services segment includes products and services such as ads, Android, Chrome, devices, Google Maps, Google Play, Search, and YouTube. The Google Cloud segment includes infrastructure and platform services, collaboration tools, and other services for enterprise customers. Its Other Bets segment is engaged in the sale of healthcare-related services and Internet services. Its Google Cloud provides enterprise-ready cloud services, including Google Cloud Platform and Google Workspace. Google Cloud Platform provides access to solutions such as artificial intelligence (AI) offerings, including its AI infrastructure, Vertex AI platform, and Gemini for Google Cloud; cybersecurity, and data and analytics. Google Workspace includes cloud-based communication and collaboration tools for enterprises, such as Calendar, Gmail, Docs, Drive, and Meet.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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