Google stock surges reports soaring profits

Alphabet's profits surge nearly 60% in Q1, with strong performance from search, YouTube, and cloud. Stock price rises 15%.

Alphabet, the parent company of Google, has reported a significant increase in profits of nearly 60% in the first quarter of this year compared to the same period last year. CEO Sundar Pichai expressed satisfaction with the company's performance, highlighting strong results from search, YouTube, and cloud services. The company is currently in the midst of its Gemini era, with a focus on AI research and infrastructure.

Following the positive earnings report, Alphabet's share price surged by 15% to $181 after hours, signaling good news for investors. Despite a recent dip in stock performance in February and March, Alphabet has seen a remarkable rally over the past year. The company is part of the elite group of big tech stocks known as the "Magnificent Seven," although critics have excluded Alphabet from the newly coined "Fab Four" list of top tech stocks. However, the strong performance in April could potentially propel Alphabet back into contention for the top tech stock spot.

In addition to the profit increase, Alphabet's sales also saw a significant rise of 15% to $80.5 billion. Google, a key subsidiary of Alphabet, has made strides in rectifying early issues with its AI chatbot Gemini. At the Google Cloud Next conference in Las Vegas, the company unveiled the new Gemini Pro 1.5 model, with notable customers such as Goldman Sachs, Mercedes, and Uber already onboard. Google also introduced a new AI chip and Arm-based CPU to compete with industry giants like Microsoft, Amazon, and Nvidia.