Alphabet earnings miss expectations, sparking AI spending concerns and broad market moves
Alphabet reported third‑quarter results that showed strong revenue growth but heavy AI‑related spending and investment losses, sending its shares down about 11% after hours. Oracle announced a net cash‑flow‑positive outlook, lifting its stock roughly 11%, while Microsoft posted a first‑quarter beat that nudged its shares up 3%. Nvidia slipped 1% after news that the DOJ is reviewing its planned acquisition of Hugging Face, and Lumentum jumped 10% on reports of a possible Marvell buyout.
Why it matters
The sharp drop in Alphabet shares highlights investor sensitivity to AI cost overruns, which could pressure other tech stocks. Oracle’s cash‑flow guidance may ease capital‑expenditure concerns for investors, while the DOJ inquiry adds regulatory risk to Nvidia’s acquisition strategy.
Key facts
- 1Alphabet shares slid about 11% after‑hours following its third‑quarter earnings release. finance.yahoo.com
- 2Oracle’s share price rallied about 11% after executives disclosed a net cash‑flow‑positive outlook. finance.yahoo.com
- 3Microsoft’s share price inched 3% higher after‑hours after its first‑quarter results beat expectations. finance.yahoo.com
- 4Nvidia shares slipped 1% after reports that the U.S. Department of Justice is reviewing its planned acquisition of Hugging Face. finance.yahoo.com
- 5Lumentum shares rose 10% after hours following a report that Marvell Technology is in talks to buy the company. finance.yahoo.com
Summary written by AlphAI AI Desk from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.