WS #16552
Alphabet's stock plunged 13% after missing earnings targets and announcing significant cuts to capital expenditures, a move that has triggered a 'death cross' technical signal and wiped over $400 billion from its market cap. This event marks a pivotal moment in the AI investment cycle, as investors question the near-term ROI of hyperscaler spending. The selloff is dragging the broader Nasdaq lower, signaling a rotation out of high-multiple tech names despite strong macro data.
Alphabet Selloff and AI Capex Reassessment
Alphabet's stock plunged 13% after missing earnings targets and announcing significant cuts to capital expenditures, a move that has triggered a 'death cross' technical signal and wiped over $400 billion from its market cap. This event marks a pivotal moment in the AI investment cycle, as investors question the near-term ROI of hyperscaler spending. The selloff is dragging the broader Nasdaq lower, signaling a rotation out of high-multiple tech names despite strong macro data.