Alphabet's Impressive 2025 Earnings Report
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 02 2026
0mins
Should l Buy GOOGL?
Source: Fool
- Significant Revenue Growth: In 2025, Alphabet reported annual revenue of $403 billion, reflecting a 15% year-over-year increase, with Google Search and YouTube ad revenues rising by 13% and 12% respectively, indicating broad-based growth potential across its business segments.
- Cloud Computing Performance: Google Cloud achieved a remarkable 48% sales growth in Q4 2025, with CEO Sundar Pichai noting that nearly 75% of customers have utilized its optimized AI tools, highlighting strong market demand for AI solutions.
- Surge in Capital Expenditures: Alphabet's capital expenditures reached $91 billion last year, significantly up from $53 billion in 2024, with projections for 2026 to be between $175 billion and $180 billion to support AI-related infrastructure development.
- Optimistic Profit Outlook: Alphabet's earnings per share are projected to grow at a compound annual rate of 12.7% from 2025 to 2028, with a current P/E ratio of 28.5 expected to rise to 30 in five years, showcasing strong investment potential.
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Analyst Views on GOOGL
Wall Street analysts forecast GOOGL stock price to rise
33 Analyst Rating
26 Buy
7 Hold
0 Sell
Strong Buy
Current: 297.390
Low
305.00
Averages
374.25
High
400.00
Current: 297.390
Low
305.00
Averages
374.25
High
400.00
About GOOGL
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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