Yardeni: 2027 Earnings Worries Behind Google Stock's June Swoon
Analyst Ed Yardeni said Google stock (GOOGL) has swooned since mid-May due to investor worries about 2027 earnings estimates, despite still being up 9% year-to-date in 2026.
Key Numbers
Veteran analyst Ed Yardeni attributed Alphabet (GOOGL) stock's decline since mid-May to investor concerns over 2027 earnings estimates. The stock remains up 9% year-to-date.
Rating Change
Yardeni did not indicate a change in his rating for the stock, but provided analysis of factors behind the recent performance.
Analyst's Rationale
Yardeni believes the stock experienced a "June swoon" as investors focus on future 2027 earnings estimates, which may be below expectations. He noted the stock had risen strongly earlier in the year, making it vulnerable to profit-taking.
Context
Google stock (GOOGL) is up 9% YTD in 2026 but has declined since mid-May. Alphabet has not released any material updates during this period. Other analysts remain positive on the stock based on the strength of advertising and AI businesses.
What to Make of It
The recent decline is driven by concerns over 2027 earnings, not a change in company fundamentals. Investors will watch for future guidance in upcoming reports.
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