Alphabet Plunges 6%, Erasing $255B After Capex Forecast Raised to $205B
GOOG sits 69% above its 52-week low of $188.7.
Summary
Alphabet shares tumbled 6% after the company raised its 2026 capital spending forecast to as much as $205 billion, spooking investors already wary of massive AI outlays. The selloff wiped out roughly $255 billion in market value, marking a record one-day loss for the stock. This follows the $700 billion capex plan announced in May and the $80 billion equity offering in June, signaling that spending is accelerating faster than expected. The market is clearly questioning whether these investments will generate adequate returns, especially with no immediate revenue uplift in sight. With the stock now the worst performer in the Dow, traders will watch for any management commentary on spending discipline or ROI timelines.
At the time of this announcement, GOOG was trading at $318.06 on NASDAQ in the Technology sector, with a market capitalization of approximately $3.9T. The 52-week trading range was $188.70 to $404.47. This news item was assessed with negative market sentiment and an importance score of 9 out of 10. Source: Dow Jones Newswires.