Alphabet shares trade around $367 following record first-quarter results and expanded AI infrastructure spending plans
https://eciks.org/10229-68065-google-stock-price-alphabet-earnings-ai
Publish Date: 2026-06-22 10:30:00
Source Domain: eciks.org
Alphabet’s stock holds near $367 in mid-June 2026 after the tech giant delivered strong first-quarter earnings and signaled an even more aggressive push into artificial intelligence infrastructure, with capital expenditure guidance climbing to as much as $190 billion for the full year.
The company reported Q1 2026 revenue of $109.9 billion, up 22% year-over-year and exceeding analyst expectations of $107.2 billion, according to CNBC. Operating income grew 30% to $40 billion, marking the company’s eleventh consecutive quarter of double-digit revenue growth, according to Alphabet’s investor presentation from June 2026.
Google Cloud emerged as the earnings standout, delivering $20.03 billion in revenue—a 63% increase from the prior year and well above the $18.05 billion estimate, according to StreetAccount data reported by CNBC. The cloud business’s backlog nearly doubled quarter-over-quarter to over $460 billion, driven by surging demand for enterprise AI solutions, which became the cloud unit’s primary growth driver for the first time in Q1.
Capital expenditure intensity accelerated sharply. Alphabet spent $35.7 billion on CapEx in the first quarter alone, representing a 107% year-over-year increase, according to Investing.com. The company raised its full-year 2026 CapEx guidance by $5 billion to a range of $180 billion to $190 billion, up from the prior estimate of $175 billion to $185 billion, according to Fortune and CNBC. CEO Sundar Pichai stated on the earnings call that Alphabet is “compute constrained in the near term,” noting that “our cloud revenue would have been higher if we were able to meet the demand.”
The CapEx surge reflects a strategic bet on AI infrastructure at a scale unprecedented for the company. In 2022, Alphabet spent approximately $31 billion in CapEx; the 2026 guidance represents six times that level and double the $91.4 billion spent in 2025, according to Alphabet’s June 2026 investor presentation. The…
