Alphabet reported earnings today. The stock is down 3% in after hours, despite reporting Q2 EPS $5.01 vs. $4.49 estimates. Likely this has to do with the $2.7 Billion EU Fine.
That being said, they reported some interesting numbers for advertisers to consider:
1. Cost per click (CPC) is down 26% on Google properties (YoY)
2. Aggregate CPC is down 23% (YoY)
3. Paid clicks are up 52% from a year ago
They’re also expecting to see an uptick in revenues from both YouTube and mobile search. With video and mobile exploding over the last few years, it’s easy to see this expectation become a reality. The “digital advertising arms race” with Facebook is fully underway.