NASDAQCommunication ServicesInternet Content & InformationSnapshot 2026-07-07
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Track GOOG free→Alphabet grows sales about 22% yearly. Profit beats are strong. Capital spending will rise to $175-$185 billion in 2026. The company leads in AI and meets customer demand well.
Sales growth could slow below 24%. Capital spending may not boost returns. Competition or regulation could hurt profits.
The price is about 44% above our fair value near $252. Analysts expect about 24% revenue growth. Our fair value is below the Street median of $428.
Breaks if: CapEx falls below $170 billion in 2026
Alphabet plans to increase capital expenditures in 2026 to meet customer demand and capitalize on growth opportunities.
Stated in 3 of last 3 quarters. Alphabet's guidance anticipates 2026 CapEx investments to be between $175 and $185 billion. This reflects a significant increase from the 2025 CapEx range of $91 to $93 billion. The trajectory indicates a strong commitment to capital allocation for growth.
Breaks if: EPS falls below $13.5 in FY26
Breaks if: YoY revenue growth falls below 20% next year
Alphabet aims to align its operations and investments to meet growing customer demand.
Standing thesis, reviewed periodically — not a price target or advice.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
“Our 2026 CapEx investments are anticipated to be in the range of $175 to $185 billion.”
“We now expect 2025 capital expenditures to be in a range of $91 billion to $93 billion.”
“We are increasing our investment in capital expenditures in 2025 to approximately $85 billion.”
Alphabet is committed to leveraging its resources to capitalize on emerging growth opportunities.
