Alphabet's Google Witnesses Stock At An All-Time High
Alphabet witnesses an all time high in its share price and announces its new senior VP.
Alphabet, Inc.’s hit its all-time high stock hit when the shares of the company jumped by 2% to $755.50. The hike in the stock price was due to the cloud services of the internet search giant. Google’s A voting share that are being traded under ‘GOOGL’ symbol climbed up as well and were being traded at $776.26.
In the current fiscal year, the share of the internet search giant rose by 45%. This rise in the stock price was witnessed mostly after the appointment of the new Chief Executive Officer of the search giant. Additionally, Alphabet’s YouTube gained a number of new subscribers as well and managed to keep its status of being the most dominant video streaming services for music, documentaries etc. on the web.
One of the major changes that took place this year in the company was it being changed to Alphabet Inc. so that the business under Google that were not performing comparatively well could be separated from the original Google name. The result of this change was that investors were able to make better decision towards the stock of the company.
Subsequent step for the internet leader is to become the leading distributor in cloud services and gain the cloud service market. As per a research report by Deutsche bank on November 20, 2015 the research firm stated that this expansion of Google’s into the cloud services business, no matter how big it could become, could result in ‘incremental revenue growth’. The estimated target price on Google’s stock is at $900 with a suggested rating of Buy.
Returns generated by the company, as of November 18, 2015, in the past 12 months are 38.9% and monthly are 8.6%. In the trailing 5 day period, the shares of the company rose by -0.68%. The company on Friday announced that it will be acquiring Bebop Technologies along with Diane B. Greene, who also co-founded the software company. No further information regarding the terms of the acquisition was given.
Google has admired Greene as such was the former CEO and Co-founder of VMWare; her resignation according to Google news will be Senior Vice President for Google’s enterprise businesses. The company further stated that there is not better person for the job than her. According to reports by The Wall Street Journal, it is quite obviously that the company is getting very serious about its cloud computing business.
Reuters reported that soon the internet search engine giant will also be launching the China version of android’s Google Play. Additionally, the rating received by The Street for the company is Buy. The EPS reported by the company is 21.26 with price to earnings ratio of 36.55.
