In addition, the Wall Street Journal / Market Data Group data show that this year Alinfo market for the first time exceeded 600 billion US dollars, only spent 131 days and then boarded the peak of 700 billion US dollars, creating a market capitalization increase of the fastest record of 100 billion US dollars.
Yesterday, advertising revenue stronger than expected, operating profit surged, swept away investors doubts about the surge in advertising costs, early shares rose 4.17% to 1,032.75 US dollars this year, Alphabet shares soared 25.1% over the S & P 500 index rose over the same period 14.4%.
The company's third-quarter revenue jumped 24 percent to $ 27.8 billion, better than analysts' average estimate of $ 27.2 billion and double-digit revenue for the 15th quarter, up $ 6.7 billion in revenue last quarter $ 9.57, also beat Wall Street estimates. "Alphabet Chief Financial Officer Porate said," Google and other departments are strong performance. "
Google to mobile advertising growth, must be paid to Apple and other industries to integrate Google search to mobile products and services, which led to rising Google spending, but also lead to investors questioned the surge in costs.
Last quarter, the cost of acquisition (TAC) increased by 54%, accounting for 12% of advertising performance, analysts said that due to revenue and cost control, has slowed the impact of increased spending.
Arete Research analyst Karam believes that people only believe that TAC is the cost, but in fact, it is Google control advertising published a major investment in the ecosystem. Atlantic Equities analyst Kodwell also said, "Although TAC surge, but this can be changed To flow and profit, and overall gross profit growth is still more than 20%. "
In addition to advertising performance is better than market expectations, Google other income is also doing well, including Pixel smart phones, Home speakers and other hardware and cloud computing business are showing growth in the last quarter non-advertising sector sales over the same period last year 40% to $ 3.4 billion.