Stocks of Google-parent Alphabet traded lower in the after-hours despite beating third-quarter revenue expectations.
Accordingly, Alphabet Inc. Class A dwindled by 0.80% or 21.70 points to $2,764.50 per share.
At the same time, it reversed its hike of 1.35% or 37.50 points to $2,786.20 yesterday.
Overall, the stock is still 58.00% higher year-over-year as investors bet on Google’s ability to withstand potential regulatory changes.
Moreover, its earnings per share posted at $27.99, significantly higher than the expected $23.48.
In addition, its revenue totalled $65.12 billion, surpassing the analysts’ estimate of $63.34 billion.
Subsequently, Google’s advertising revenue increased 43.00% to $53.13 billion from $37.10 billion at the same time last year.
Then, Youtube advertising revenue strengthened to $7.20 billion from the previous $5.04 billion. However, it came in lower than the forecasted $7.40 billion.
In line with this, Google Cloud’s revenue rose 45.00% to $4.99 billion, but it missed the projected $5.07 billion.
On the other hand, its traffic acquisition costs climbed to $11.50 from the anticipated $11.16 billion.
Additionally, its operating loss declined to $644.00 million from $1.21 billion.
Also, Alphabet posted a profit of $188.00 million on investments in the third quarter, $26.00 million higher than last year.
Remarkably, Alphabet managed through the privacy configurations that Apple made to iOS 14 this year.
Its subsidiary Google shielded the implications as it owns the Android operating system.
Meanwhile, Snap and Facebook both suffered the change, where consumers opted out of the targeted ads on their respective platforms.
Similarly, Facebook shed 0.22% or 0.71 points to $315.10 per share.
Conversely, Snap hiked 0.40% or 0.22 points to $55.61 per share.
US Tech Stocks Mixed as Alphabet Fell
Meanwhile, US tech stocks mixed despite reporting solid third-quarter results.
Subsequently, Twitter surged 3.86% or 2.37 points to $63.80 after reporting 37.00% revenue growth.
Similarly, Microsoft amplified 2.00% or 6.19 points to $316.30 per share after hitting a record quarterly profit.
Like Alphabet, Robinhood Markets sharply plunged 8.47% or 3.35 points to $36.22 per share.
Also, Tesla pared earlier gains as it dropped 0.44% or 4.53 points to $1,013.90 per share.
Generally, solid earnings nudged Wall Street to further gains.
Accordingly, the Dow Jones Industrial Average extended its gain as it rose 0.04% to 15.73 points to $35,756.88 per share.
At the same time, the benchmark S&P 500 advanced 0.18% or 8.31 points to $4,574.79 per share.
Furthermore, the Nasdaq Composite index widened 0.06% or 9.01 points to $15,235.72 per share.