Why did GOOG stock dip after a quarterly beat?

Shares slipped because Alphabet guided 2026 capex to $175 to $185 billion for AI infrastructure. That level of investment can pressure free cash flow in the near term. Investors are balancing this against strong Google Cloud growth, a large backlog, and rising Gemini usage.

What is Alphabet capex 2026 and how does it affect cash flow?

Alphabet capex 2026 is projected at $175 to $185 billion to expand data centers, GPUs, and networking. This raises near-term cash needs and can compress free cash flow. The longer-term goal is to support AI demand, which could improve margins and cash generation once the investment cycle peaks.

How strong is Google Cloud growth and why does it matter?

Management cited 48% growth and about a $240 billion backlog. That scale indicates durable AI-related demand across infrastructure, analytics, and security. If backlog converts efficiently and margins expand, Cloud can offset ad cyclicality, support earnings durability, and help stabilize valuation for GOOG stock over time.

How should Swiss investors approach GOOG stock?

Consider USD exposure, after-hours moves between 22:00 and 02:00 CET, and US dividend withholding, typically 15% with a W-8BEN. Watch key levels like the 50-day near 320.82 and manage position size with ATR near 7.47. A staggered entry can reduce timing risk around earnings.

Global Market Insights

GOOG Stock Today: Beat Meets $185B AI Spend; Shares Dip—February 05

ByDanny Kontos February 5, 2026February 5, 2026

GOOG stock is under pressure after Alphabet beat on Q4 revenue and EPS but projected 2026 capital spending of $175 to $185 billion to scale AI infrastructure. Management flagged rising Gemini usage, 48% Google Cloud growth, and a $240 billion backlog, but investors fear near-term free cash flow strain. For Swiss investors, USD exposure, after-hours timing, and taxes matter alongside fundamentals. We break down the numbers, the setup, and what could move GOOG stock next.