Invest in Google’s parent company and track your portfolio.
Alphabet — the parent company of Google, Calico Labs and Verily Life Sciences — is one of the world’s most exciting companies. Though it’s a popular investing choice for good reason, not even Google is immune to the risks of the stock market.
Recent stock performance of GOOGL
Before investing in a company like Alphabet, review its past stock prices, recent news headlines and something called the moving average convergence/divergence — or MACD. MACD is a trading indicator that uncovers the strength, momentum and duration of a trend. Remember, past performance is no guarantee of future results.
Alphabet’s technical performance
Technical analysis is the mathematical study of a stock’s price based on its recent trends. You have many more ways than the MACD to analyze market trends. Here’s what several key technical indicators are saying about Apple’s current stock trend, according to charting service TradingView.
Alphabet’s financial performance
Review how Alphabet has performed as a company over the past three years.
|Year||Revenue||Operating income||Net income||Total assets||Total equity||Employees|
|2015||$74.98 billion||$19.36 billion||$16.34 billion||$147.46 billion||$120.33 billion||66,575|
|2016||$90.27 billion||$23.71 billion||$19.47 billion||$167.49 billion||$139.04 billion||78,801|
|2017||$110.85 billion||$26.14 billion||$12.66 billion||$197.29 billion||$152.50 billion||80,110|
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How to stay up to date with Alphabet stock
When buying or selling stock in a company, pay attention to its current affairs by monitoring elements like:
- Financial reporting. Know when a company typically releases its financial reports. These reports can let you know how the company is performing, which affects the stock price. Alphabet reports annually on December 31st, as well as quarterly.
- Company news. Keep an eye on the news. New releases, new countries or markets, hiring and firing staff can all affect a company’s stock.
- Wider news. Be aware of external events and news that can affect Alphabet’s share price — for instance, new regulations that may impact the business or new products being released by its competitors.
- Company dividends. If a company pays dividends, they pay some of their profits back to shareholders. Currently, Alphabet does not pay dividends on their shares.
- Shareholder meetings. Often held annually, these meetings invite large shareholders to attend and vote on matters relating to the company.
Things to consider
Before investing in any company, know the answers to key questions like:
- What does the company do? If you can’t explain what the company does in a few sentences, do some research before investing.
- Is it making profits? If you’re not sure if a company is profitable, it could be a red flag. You can read Alphabet’s quarterly or annual earnings reports and look at the figures for yourself.
- Who are the main competitors? Know if the company is a market leader, a newcomer or a fast-growing disrupter. If the company you’re considering operates globally, keep an eye on foreign competition as well.
- Who runs the company? It’s easy to track down who’s running the show, and any decent company lists its senior managers, too. Knowing the leaders can tell you something about the company’s stability and management style.
- Is the company’s position sustainable? If you’re looking for a long-term investment, evaluate the likelihood of the company sticking around. If you’re looking for a short-term gain, this is less important.
- Is there room for future growth? Look at the company’s outlook for medium- to long-term growth to determine whether it’s reached its maximum size or has room to grow.
The allure of investing in a behemoth like Alphabet is understandably strong. But like any other company, it can be vulnerable to swings in the economy. Before buying or selling stocks, do your research to make sure you’re getting the most out of your investment.
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