Alphabet (GOOGL) Earnings Preview: Momentum Builds as Key Metrics Take Center Stage

Alphabet (GOOGL) Earnings Preview: Momentum Builds as Key Metrics Take Center Stage
Expected Move: ±11.25 | Intrinsic Value: $241.00

Alphabet Inc. (GOOGL), the parent company of Google, is set to report its Q2 2025 earnings after the market closes on Wednesday, July 23rd. The upcoming report is drawing heightened attention from investors due to growing momentum in the stock, evolving trends in search and advertising, and the company’s continued push into AI and cloud services.

Options Market Signals and Strategic Levels
The options market is pricing in a ±6% one-day move, translating to roughly $11.25 in either direction. Alphabet has an intrinsic value of $241.00, giving traders a reference point for potential revaluation post-earnings. With shares currently trading below that threshold and a bullish streak underway, the risk/reward may appeal to both directional traders and premium sellers.

Stock Performance and Technical Context
GOOGL shares have gained nearly 11% in July alone and are riding a ten-session winning streak—potentially the longest on record. While still 7.5% below their all-time high of $207 set earlier this year, this rally suggests bullish sentiment is intensifying heading into the announcement.

Key Risks and Catalysts: AI and Search Dominance
Alphabet’s dominance in the global search market remains unmatched, with over 90% market share. However, concerns around tariffs earlier this year and increasing competition in AI-powered search—particularly from Microsoft’s Bing and OpenAI integrations—have challenged investor confidence in its ad-revenue growth trajectory.

In the background of this competition is Alphabet’s multi-billion dollar arrangement with Apple, which helps secure its position as the default search engine on all Apple devices. In 2023, Alphabet paid approximately $20 billion annually to maintain this default status across Apple’s ecosystem. Whether this deal remains sustainable—or becomes a regulatory flashpoint—will continue to be a key issue for Alphabet's long-term profitability.

What to Watch in the Call

    Updates on Google Cloud profitability and growth rate

    Commentary on AI integration across search and ad platforms

    Impact of regulatory pressures around default search deals

    Trends in ad spending across YouTube and search

    Forward guidance on margins and capital expenditure

Bottom Line
Alphabet’s Q2 earnings could be a pivotal moment. With technical momentum building, implied volatility elevated, and core business models evolving, this is a name that deserves a spot on every trader’s radar this week. The body content of your post goes here. To edit this text, click on it and delete this default text and start typing your own or paste your own from a different source.

Trade Considerations for GOOGL Earnings:

Sell a 205/210 Vertical Call Spread

Sell a 180/175 Vertical Put Spread

For those who want to own Google Sell a Cash Secured put below 180

Disclaimer

This is not financial advice. Please do your research or consult a financial advisor before making investment decisions.