So what’s the big news from that earnings report pulling GOOGL stock lower today? Both earnings per share and revenue reported by the company failed to meet estimates. This is partially due to the disruption of YouTube ad revenue due to the war in Ukraine.
Let’s start off with the company’s diluted EPS of $24.62. That wasn’t able to meet the $25.91 per share that Wall Street was expecting in Q1 2022. It’s also lower than the $26.29 per share reported during the same time last year.
Next up is revenue of $68.01 billion. This is another case of disappointing analysts with their estimates calling for revenue of $68.11 billion for the quarter. That’s despite it rising 23% from the $55.31 billion reported in the same period of the year prior.
Ruth Porat, the CFO of Alphabet and Google, said the following in a conference call when asked about the effects the war in Ukraine is having on the company.
“In terms of revenues, the most direct impact is the fact that we suspended the vast majority of our commercial activities in Russia, as we announced in early March. And to your question, about 1% of Google revenues were from Russia in 2021, and that was primarily from advertising.”
The poor earnings report from Alphabet has GOOGL stock seeing heavy trading on Wednesday. This has some 3 million shares on the move as of this writing. For the record, the company’s daily average trading volume is closer to 1.9 million shares.
GOOGL stock is down 2.3% as of Wednesday afternoon.
Investors looking for more stock market news from today will want to stick around!
InvestorPlace has all the latest stock news that traders need to know about for Wednesday! Among that is what has shares of Camber Energy (NYSEMKT:CEI) stock, Cosmos Holdings (NASDAQ:COSM) stock, and Tesla (NASDAQ:TSLA) stock today. You can read all about these subjects at the following links!
More Stock Market News for Wednesday
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.