ABN Amro Investment Solutions has taken a significant step by acquiring a new position in shares of Alphabet Inc. (NASDAQ: GOOGL) during the second quarter of 2023. The investment firm disclosed its purchase of 944,569 shares of the information services provider, representing an investment valued at approximately $166,461,000. This acquisition positions Alphabet as the fourth-largest holding in ABN Amro’s portfolio, accounting for roughly 3.3% of its total assets.
Several other institutional investors have also adjusted their holdings in Alphabet. Bridgeway Capital Management LLC increased its stake by 17.9% during the first quarter, acquiring an additional 13,371 shares to bring its total to 88,187 shares, valued at $13,637,000. Similarly, Alaethes Wealth LLC raised its position by 1.1%, while Moment Partners LLC boosted its holdings by 9.3% in the second quarter. Other notable increases include Welch Group LLC, which raised its holdings by 4.0%, and Elgethun Capital Management, which increased its stake by 4.8%. Overall, hedge funds and institutional investors now control 40.03% of Alphabet’s stock.
Insider Transactions and Analyst Ratings
In related news, insider transactions have also been noteworthy. John L. Hennessy, a director at Alphabet, sold 600 shares on November 13, 2023, at an average price of $280.06, totaling approximately $168,036. This transaction reduced his holdings to 4,516 shares, valued at roughly $1,264,750.96. Additionally, Amie Thuener O’toole, the Chief Accounting Officer, sold 2,778 shares on November 17, 2023, for approximately $800,786.28. These sales represent decreases of 11.73% and 19.14% in their respective positions. Over the past 90 days, corporate insiders have sold 225,174 shares worth $58,095,223, with insiders owning 11.64% of the company.
Various analysts have recently expressed optimistic views on Alphabet. Wolfe Research reaffirmed an “outperform” rating with a target price increase to $350.00 from $290.00 on October 30, 2023. Similarly, BNP Paribas Exane initiated coverage with an “outperform” rating and a target price of $355.00. Other firms, including Citic Securities and Sanford C. Bernstein, have also raised their ratings and price targets, with an average target price now standing at $307.84.
Alphabet’s Financial Performance and Future Outlook
The stock of Alphabet opened at $323.44 on Wednesday, reflecting its robust market position. Over the last fifty days, its moving average price was $265.17, while its two-hundred day average stood at $216.20. Alphabet holds a market capitalization of $3.90 trillion and has reported a price-to-earnings ratio of 31.90. The company’s financial health is further evidenced by a net margin of 32.23% and a return on equity of 36.08%.
On October 29, 2023, Alphabet announced quarterly earnings of $2.87 per share, surpassing the consensus estimate of $2.29 by $0.58. The company reported revenues of $102.35 billion, exceeding the expected $99.90 billion. Analysts predict that Alphabet will post an earnings per share (EPS) of 8.9 for the current fiscal year.
In addition to its performance metrics, Alphabet declared a quarterly dividend of $0.21 per share, to be paid on December 15, 2023. Shareholders of record will be those on December 8, 2023, which translates to an annualized dividend yield of 0.3%.
Alphabet Inc. operates through various segments, including Google Services, Google Cloud, and Other Bets, providing a diverse range of products and platforms across multiple regions, including North America, Europe, and Asia-Pacific. As the company continues to evolve, its strategic investments and insider activities will likely play crucial roles in shaping its future trajectory.
