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Alphabet keeps beating earnings but stock undervalued, driven by strong growth in Cloud and AI.

Analyst Insights
21 Oct 2026
24/7 Wall Street
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Bullish
Alphabet keeps beating earnings but stock undervalued, driven by strong growth in Cloud and AI.

Alphabet continues to outperform earnings expectations with 24.2% revenue growth and strong gains in Google Cloud, which grew 82% last quarter. Despite these results, its stock trades at a modest 15 times earnings, suggesting the market undervalues its growth potential. The company’s AI integration across Search, YouTube, Android, and Cloud supports sustained expansion, while operating income and margins improve. Investors should watch the valuation gap as Alphabet invests heavily in AI infrastructure but shows strong cash flow and growth prospects.

Alphabet's stock trades at USD 333.65 on Pluang as of Oct 22, 2026 00:02 WIB, showing a 1.95% decline in the last day. The company's market cap stands at $4.14 trillion, reflecting its massive scale despite the recent price dip. Pluang order activity favors buying at 72%, indicating continued investor interest in the stock amid its growth narrative.

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