Alphabet (Google Parent) drops after reporting ad revenue slowdown
Alphabet drops after reporting ad revenue slowdown
· Alphabet shares are up 24% this year, but the stock fell after hours Monday following disappointing revenue.
· Ad sales growth is decelerating at Google.
· The company was hit with a $1.7 billion fine from the European Commission in the quarter.shares fell about 7% after Google’s parent company reported revenue that fell below analyst estimates for its first-quarter 2019. The drop wiped more than $60 billion off Alphabet’s market cap.
· Earnings per share: $11.90 per share, ex-items, vs. $10.61 expected, per Refinitiv survey of analysts
· Revenue: $36.34 billion, vs. $37.33 billion expected, per Refinitiv survey
· Traffic acquisition costs: $6.86 billion, vs. $7.26 billion expected, according to FactSet
· Paid clicks on Google properties: +39%
· Cost-per-click on Google properties: -19%