Alphabet Inc. (NASDAQ:GOOGL) is Skandinaviska Enskilda Banken AB publ’s 6th Largest Position

25.03.2025 09:45
etfdailynews.com
Keywords: High, Low

Skandinaviska Enskilda Banken AB increased its stake in Alphabet Inc., making it the 6th largest position in its portfolio. Alphabet reported strong earnings and a dividend of $0.20 per share, with a market cap of $2.04 trillion and a P/E ratio of 20.83. Analysts have rated the stock "Moderate Buy" with an average target price of $210.59.

Context

Analysis of Alphabet Inc. (NASDAQ:GOOGL)

Ownership Trends

Skandinaviska Enskilda Banken AB publ increased its stake in Alphabet by 7.8% during Q4, holding 2,862,762 shares worth $547,475,000.
Alphabet is the bank’s 6th largest position, accounting for 2.5% of its holdings.
Other institutions like Proficio Capital Partners LLC and Amundi also increased their stakes significantly:
- Proficio Capital Partners LLC: Increased by 20,990.0%, holding 6,186,748 shares worth $1.17 billion.
- Amundi: Increased by 18.7%, holding 29,866,698 shares worth $5.79 billion.

Analyst Ratings and Price Targets

Consensus rating: "Moderate Buy" with an average target price of $210.59.
Mixed analyst activity:
- KeyCorp decreased target from $220 to $202, maintaining "overweight."
- Piper Sandler lowered target from $210 to $208, maintaining "overweight."
- Robert W. Baird reaffirmed "outperform" with a $205 target.
- Roth Mkm reiterated "buy" with a $220 target.
- Rosenblatt Securities restated "neutral" with a $205 target.

Price Performance

Alphabet stock opened at $167.68 on the latest trading day.
Key financial metrics:
- Market cap: $2.04 trillion
- P/E ratio: 20.83
- PEG ratio: 1.34
- Beta: 1.02
- 50-day moving average: $182.10
- 200-day moving average: $176.73
Trading range:
- 1-year low: $147.22
- 1-year high: $207.05

Dividend Announcement

Alphabet declared a quarterly dividend of $0.20 per share, paid on March 17, 2024.
Annualized dividend: $0.80
Dividend yield: 0.48%
Payout ratio: 9.94%

Insider Buying/Selling

Insider activity:
- Director John L. Hennessy sold 200 shares at an average price of $165.53, reducing his stake by 2.50%.
- Another insider sold 16,820 shares at an average price of $192.62, reducing their stake by 27.66%.
Total insider sales over the last 90 days: 93,048 shares, worth $17,374,274.
Insider ownership: 11.55%

Competitive Landscape and Strategic Considerations

Alphabet operates across multiple segments:
- Google Services: Ads, Android, Chrome, Gmail, YouTube, etc.
- Google Cloud: A growing segment with significant market presence.
- Other Bets: Includes investments in emerging technologies and ventures.
Market Dominance: Alphabet’s diverse product portfolio and global reach provide a strong competitive advantage.
Regulatory Environment: Potential long-term impacts from ongoing antitrust scrutiny and regulatory changes, particularly in the EU and U.S.

Long-Term Effects and Market Implications

Institutional Confidence: Significant increases in stake by major institutions indicate confidence in Alphabet’s long-term growth potential.
Financial Health: Strong earnings performance (EPS of $2.15 vs. consensus $2.12) and solid financial metrics suggest sustained profitability.
Dividend Policy: The modest dividend yield signals a focus on reinvesting for growth while providing some return to shareholders.

Conclusion

Alphabet’s position as a tech giant with strong institutional support, mixed but generally positive analyst sentiment, and robust financial performance positions it for continued success. However, challenges such as regulatory scrutiny and competition will require strategic investments in innovation and operational efficiency.