Alphabet Raises 2026 Capital Spending Guidance to $205B, Stock Drops 4% on July 22

According to BeInCrypto, Alphabet raised its 2026 capital expenditure guidance to a range of $195 billion to $205 billion on July 22, up from the prior range capped at $190 billion. Despite posting second-quarter revenue of $119.8 billion—a 24% annual increase with diluted earnings of $9.11 per share—the stock fell roughly 4% after hours. Quarterly capital spending hit $44.9 billion, roughly double the year-earlier figure, while free cash flow turned negative at $5.9 billion. The market reaction underscores a new earnings test: beating on revenue no longer protects a stock if capital spending guidance rises faster than projected revenue growth.
Disclaimer: The information on this page may come from third-party sources and is for reference only. It does not represent the views or opinions of Gate and does not constitute any financial, investment, or legal advice. Virtual asset trading involves high risk. Please do not rely solely on the information on this page when making decisions. For details, see the Disclaimer.
Comment
0/400
No comments