Alphabet (GOOG/GOOGL) reported a second consecutive quarter of blowout earnings, smashing consensus estimates on all line items. Most impressive to us was 38% operating margin, about 700 basis points ahead of expectations. It was only a year or two ago that investors were very concerned about GOOG/L profitability as the company invested aggressively across each […]
Alphabet (GOOG/GOOGL) reported another outstanding quarter with growth in revenues, operating income, and EPS easily beating elevated Wall Street estimates. This is the third straight quarter where GOOG has beaten Wall Street estimates. Importantly, overall revenue growth accelerated to 32% on a constant-currency basis from the impressive 23% growth rate in 4Q20. The string of […]
We are moving from neutral on growth vs. value to all-in on value effective today. We are sticking with mid cap. As a result, for clients using Northlake’s thematic models, we have sold all client positions in the Russell 1000 Growth (IWF) and reinvested the proceeds into the Russell 1000 Value (IWD). There will be […]
Alphabet (GOOG/GOOGL) reported excellent 4Q20 results across the board in all segments and on all financial metrics. Revenue, EPS, Operating income and profit margins each easily and materially beat Wall Street estimates. These factors alone are worth a nice boost in GOOG/GOOGL shares. However, the company also took another meaningful step to improve financial disclosure […]
There are no changes to Northlake’s favored themes for December. We remain neutral on growth versus value and continue to favor mid caps. As a result, current client positions following the models in the Russell 1000 Growth (IWF), the Russell 1000 Value (IWD), and the S&P 400 Mid Cap (MDY) will be held for at […]
Alphabet returned to nearly pre-pandemic growth in 3Q20 led by Cloud and YouTube. Advertising revenues grew 15% adjusted for foreign currency, just below the high-teens level of late 2019. Revenues, margins, and operating profits all surprised materially to the upside, with the overall results relative to consensus estimates the biggest positive surprise in many years. […]
Alphabet (GOOG/GOOGL) reported a good quarter relative to expectations but saw more mixed fundamental trends than the other tech giants including its closest peer, Facebook. There was nothing wrong with GOOG’s quarter but it paled in comparison to blowouts reported by Amazon, Apple, and Facebook and this led to a modest sell off of about […]
Alphabet’s (GOOG/GOOGL) headline 3Q19 earnings release was mixed but after adjusting for one-time items, the report was a good one albeit lacking the upside relative to consensus estimates the company reported last quarter. Most importantly for Northlake, Alphabet showed strong advertising growth above 20% reinforcing the rebound in 2Q19 after the unexpected deceleration in growth […]
Alphabet (GOOG/GOOGL) reported strong 2Q19 results, with constant-currency revenue growth of 22% coming on the heels of a disappointing 1Q19 report. The reacceleration of revenue growth back above the crucial 20% bogey will help put to rest concerns that a secular slowdown at GOOGL has begun. Along with strong sales, GOOGL also reported better-than-expected profit […]
Alphabet (GOOG/GOOGL) reported disappointing 1Q19 earnings driven by across the board weakness in revenue trends relative to expectations. We have noted in past earnings recaps that Alphabet was holding consistently to 20% plus revenue growth despite the company’s massive size and market share. 1Q19 saw revenue growth in the upper teens, well below expectations for […]
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