Alphabet Inc. (NASDAQ:GOOG) closed at $319.09 per share on July 24, 2026, reflecting a one-month decline of 4.89% but a 52-week gain of 64.03%. The company's market capitalization stood at about $3.89 trillion, with a 52-week trading range between $188.70 and $404.47.
Alphabet's Q2 2026 consolidated revenue, better than expected.
Alphabet's cloud business has emerged as a major growth driver. Google Cloud's year-over-year revenue growth accelerated to 82% in Q2 2026, following a 63% gain in Q1. The cloud backlog reached $514 billion at the end of Q2, with management expecting more than half to be recognized as revenue within 24 months. Cloud operating income soared 212% year-over-year to $8.8 billion in Q2.
We are seeing strong, diversified demand across products, customers, geographies, and industries.
Alphabet's search business also showed strength. Revenue growth has accelerated over the past four quarters, helping to ease investor concerns that generative AI might disintermediate traditional search. In Q1 2026, consolidated revenue reached $109.9 billion, up 22% year-over-year (19% in constant currency). The company achieved its first-ever $400 billion annual revenue in 2025.
Despite strong top-line growth, Alphabet reported negative free cash flow of $5.9 billion in Q2 2026, possibly the first time since becoming a public company in 2004. Management raised its 2026 capital expenditure forecast to between $195 billion and $205 billion, reflecting heavy investment in AI infrastructure. Alphabet also paused share repurchases in the first six months of 2026 after repurchasing $45.7 billion in 2025, and has started tapping external financing sources via debt and equity markets to fund its AI investment cycle.
Held Alphabet shares at the end of Q1 2026, down from 203 in the previous quarter.
The broader US equity market also performed strongly. US equities posted their strongest quarter in nearly six years in Q2 2026, driven by easing Iran tensions, improving financial conditions, resilient consumer spending, and continued AI infrastructure investment.
The Jensen Quality Growth Equity Strategy returned 10.94% net of fees in Q2 2026, trailing the 15.20% return of the S&P 500 Index.