Alphabet launches calls from the EU before the third quarter results



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<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Alphabet Inc. (NASDAQ: GOOGL) (NASDAQ: GOOG) will share the revenue phase with Amazon.com, Inc. (NASDAQ: AMZN) later in the day, as both are expected to show up after the closing bell on Thursday, October 25th. "Data-reactid =" 27 ">Alphabet Inc. (NASDAQ: GOOGL) (NASDAQ: GOOG) will share the revenue phase with Amazon.com, Inc. (NASDAQ: AMZN) Later in the day, the two journalists are expected to show up after the closing bell on Thursday, October 25th.

<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "This has not really been an easy stretch For GOOGL, as expected, analysts have expressed some concerns about Amazon (AMZN) and Apple Inc. (NASDAQ: AAPL) focuses more on advertising. GOOGL appealed the $ 5 billion fine from the EU. And she revealed a security bug in her Google+ social network that allowed unauthorized access to user data. She decided to close Google+ shortly after the news of the violation became public. "data-reactid =" 28 "> This has not been an easy task for GOOGL in recent times As expected, analysts have expressed some concerns about Amazon (AMZN) and Apple Inc. (NASDAQ: AAPL) focuses more on advertising. GOOGL appealed the $ 5 billion fine from the EU. And she revealed a security bug in her Google+ social network that allowed unauthorized access to user data. She decided to close Google+ shortly after the news of the violation became public.

In October, the company announced that it would unbundle its Android operating system of Google applications and create a combination of free software and paid licenses, which should help address EU concerns.

With regard to the EU fine, GOOGL reserved the charge during its last statement and its impact will not be taken into account this quarter.

For the third quarter, GOOGL is expected to post adjusted EPS of $ 10.42 on a $ 34.04 billion business figure, according to estimates by consensus analysts established by third parties. In the same quarter of last year, Adjusted EPS was $ 9.57 on revenues of $ 27.77 billion.

Google TAC

Traffic acquisition costs, or TACs, are what Google pays to partner websites for them to post ads on their properties. This is a significant expense for the company, which amounted to $ 6.42 billion in the second quarter of 2018, or 23% of Google's total advertising revenue.

In recent quarters, many analysts have expressed concern about the upward trend in this number and the increase in advertising revenues. Changes to mobile and programmatic advertising have been the main culprits that management has blamed for the increase in the TAC in the past, although in the last report they indicated that some improvements to the program were reducing the tariffs of the TAC.

In the third quarter, the consensus analyst estimates a TAC of $ 6.76 billion.

Other income and other bets

GOOGL's other revenues include everything from Cloud, Play, Hardware to Wing and Loon, which were part of other bets until recently. In the second quarter of 2018, other revenues increased 37% over the previous year, reaching $ 4.7 billion, and they continued to occupy a more prominent position in the business. Consensus analysts estimate that GOOGL's other revenue is expected to be worth $ 4.8 billion.

See more gains on GOOG

The GOOGL division is another option that, although it may seem, is the company that is losing money now, but hopes that companies will become bigger and bigger. In the second quarter of 2018, this division generated a business turnover of $ 145 million and a loss of $ 732 million. Analysts said they expect fairly similar results for this quarter.

Waymo

Waymo, GOOGL's autonomous car division, is one of the "other bets" divisions on which many investors and analysts have focused. At the call of the last quarter, it was a main topic of discussion.

In late 2018, GOOGL announced its intention to launch a commercial car service in Phoenix, which CFO Ruth Porat called a first step to develop a broader program in the future. Management also indicated that it would continue to focus on developing relationships with automakers. Among the builders with whom the company announced work include Fiat Chrysler (FCAU) and Jaguar.

alphabet-google-googl benefit-eps stock chart-other-revenue-paris-waymo_0.png

<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "
Up and down. The fall of yesterday has put GOOGL in the red for 2018. The shares were down 1.5% so far at the close of yesterday, but shares have surged at the opening of the day. Today and are up slightly from the previous year. The title is still down from the record of $ 1,291.44 that it had reached in July. Chart source: thinkerswim® from TD Ameritrade. Not a recommendation. For illustration purposes only. Past performance does not guarantee future results."data-reactid =" 59 ">
Up and down. The fall of yesterday has put GOOGL in the red for 2018. The shares were down 1.5% so far at the close of yesterday, but shares have surged at the opening of the day. Today and are up slightly from the previous year. The title is still down from the record of $ 1,291.44 that it had reached in July. Chart source: thinkerswim® from TD Ameritrade. Not a recommendation. For illustration purposes only. Past performance does not guarantee future results.

Alphabet option trading activity

This morning, GOOGL rebounded after yesterday's massive selloff that hit technology hard. However, given the actions of the past few days, many things could change if US markets close.

According to the Market Maker Move indicator of the thinkorswim® platform, option traders have forecast about 5% of their stock in both directions. As of this morning, the implied volatility was at the 100th percentile.

With respect to Class A (GOOGL) shares, there has been a combination of option options around the world at the weekly expiry date. On the call side, there was an increase in volume at the strike price of 1100, while there was just a small activity, mostly around money.

At the monthly expiry of November 16, a large part of the activity on the call and on the opposite side was the 11-hour strike. Apart from that, there have been smaller volumes spread over a whole series of strikes, mostly around money.

<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Note: The purchase options represent the right, but not the obligation, to buy the underlying security at a predetermined price over a period of time. Put options represent the right, but not the obligation to sell the underlying security at a predetermined price over a period of time."data-reactid =" 65 ">Note: The purchase options represent the right, but not the obligation, to buy the underlying security at a predetermined price over a period of time. Put options represent the right, but not the obligation to sell the underlying security at a predetermined price over a period of time.

<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "TDA information is not intended to be investment advice or be construed as a recommendation or endorsement of a particular investment or investment strategy. Make sure you understand all the risks inherent in each strategy, including commission fees, before attempting to place a transaction. "data-reactid =" 66 ">TDA information is not intended to be investment advice or be construed as a recommendation or endorsement of a particular investment or investment strategy. Make sure you understand all the risks inherent in each strategy, including commission fees, before attempting to place a transaction.

<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "See more from Benzinga"data-reactid =" 67 ">See more from Benzinga

<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved."data-reactid =" 72 ">© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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