Alphabet Stock Is Sliding: What's Going On?

Alphabet Inc GOOG GOOGL shares are trading lower Wednesday on the heels of the company's third-quarter financial results. Here's a look at the key metrics from the quarter. 

What Happened: Alphabet said third-quarter revenue increased 11% year-over-year to $76.69 billion, which beat the consensus estimate of $75.94 billion, according to Benzinga Pro. The tech giant reported quarterly earnings of $1.55 per share, which also beat analyst estimates. 

Google Search revenue came in at $44 billion, YouTube advertising revenue totaled $8 billion and the Google Cloud business brought in $8.41 billion. The Cloud segment was weaker than analysts were expecting and is a big part of why the stock is facing selling pressure, per CNBC. 

"I’m pleased with our financial results and our product momentum this quarter, with AI- driven innovations across Search, YouTube, Cloud, our Pixel devices and more. We’re continuing to focus on making AI more helpful for everyone; there’s exciting progress and lots more to come," said Sundar Pichai, CEO of Alphabet. 

Check This Out: Alphabet (Google) Q3 Earnings Highlights: Revenue Beat, EPS Beat, 'AI Driven Innovations' For Search, Cloud, YouTube

Following the company's quarterly results, Keybanc analyst Justin Patterson maintained Alphabet with an Overweight rating and lowered the price target from $155 to $153. Several more analyst updates are expected Wednesday morning. 

GOOG Price Action: Alphabet shares were down 5.91% at $131.84 at the time of writing, according to Benzinga Pro.

Photo: 422737 from Pixabay.