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Alphabet’s Market Volatility Alphabet Faces Stock Whiplash After Six-day Winning Streak

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The new building at Google Bay View campus in Mountain View, California.

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Alphabet (NASDAQ:GOOGL) (NASDAQ:GOOG) is wavering on the edge, unsure of whether to extend or cut short its six-day winning streak, during which its Class A shares surged 6.7% and Class C shares soared 6.6% over the last 6 trading sessions.

The tech behemoth’s Class A shares experienced a slight uptick of 0.8% on Monday, reaching a peak of $142.68. This particular class of shares has already ascended by an impressive 58.6% since the beginning of the year.

Throughout November, GOOGL closed in the green for 14 out of 21 total trading days, continuing its positive trend with nine profitable trading sessions in December so far.

Seeking Alpha’s Quant Rating bestows GOOGL with a Strong Buy rating, securing a score of 4.95 out of 5. The Mountain View, California-based company has been awarded an A+ for profitability and an A- for momentum, while its growth and valuation prospects have garnered a B and D grade, respectively.

As for the Wall Street community, 33 analysts have strongly endorsed GOOGL with a Strong Buy, while 12 have recommended it as a Buy. Additionally, 10 analysts have rated the stock as a Hold, and none have issued a Sell recommendation.

Additionally, GOOGL has been listed among Needham’s top picks among the big tech companies for 2024. Moreover, analysts from Seeking Alpha, on average, view the stock as a Buy. Notable tech bull Julian Lin marked it as his top pick for 2024 in a report on December 15.

β€œAlphabet has demonstrated resilient revenue and earnings growth, but the rise of generative AI raises concerns about the long-term viability of the search business. The market has largely overlooked the strong results from the cloud division, likely due to slower growth rates compared to Microsoft. Waymo is ramping up and is worth far more than the negative value often ascribed due to Other Bets losses. The stock appears to be exceedingly undervalued based on a sum of the parts analysis,” said Lin, elaborating on the company’s future potential.

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